Bookkeeping

For fair value hedge accounting, entries for hedged items and hedging instruments are recorded. For cash flow hedge and net investment hedge, journal entries for effective and non-effective hedge portions are recorded separately. Apart from this, IFRS 9 introduced a more flexible and broader range of eligible hedging instruments and…

Making a comparison of the P/E ratio within an industry group can be helpful, though in unexpected ways. Although it seems like a stock that costs more relative to its EPS when compared to peers might be “overvalued,” the opposite tends to be the rule. Earnings per share can be…

Her mortgage expertise was honed post-2008 crisis as she implemented the significant changes resulting from Dodd-Frank required regulations. Balancing a checking account—aka balancing a checkbook—probably isn’t on your list of fun activities. But keeping up with your spending and income is a must, and that’s exactly what balancing a checkbook…

In conclusion, the decision to pursue a CMA certification is a significant investment, but for many finance and accounting professionals, it is undoubtedly worth it. Next, let’s look at how a CMA certification can help your career growth. First, it is considered the “gold standard” of management accounting in the…

In conclusion, the decision to pursue a CMA certification is a significant investment, but for many finance and accounting professionals, it is undoubtedly worth it. Next, let’s look at how a CMA certification can help your career growth. First, it is considered the “gold standard” of management accounting in the…

That’s why depreciation expense is lower in the later years because of the fixed asset’s decreased efficiency and high maintenance cost. The beginning book value is the cost of the fixed asset less any depreciation claimed in prior periods. Under the DDB method, we don’t consider the salvage value in…

The cost of ordering inventory falls with the increase in ordering volume due to purchasing on economies of scale. However, as the size of inventory grows, the cost of holding the inventory rises. EOQ is the exact point that minimizes both of these inversely related costs. The largest drawback of…

For auditors, the focus is on verifying the accuracy of contra asset accounts. They scrutinize the assumptions and calculations behind depreciation and allowance for doubtful accounts to ensure they’re reasonable and compliant with accounting principles. From a financial analyst’s point of view, contra asset accounts provide insights into a company’s…

Billing a fixed-price contract often happens on a percentage-of-completion basis with retainage withheld. Once a contractor does have a right to it, after satisfactory contract completion, the contractor issues an invoice for it and moves it from the asset account to the A/R account for collection. The idea of retention is…

Involve stakeholders in the https://nerdbot.com/2025/06/10/the-key-benefits-of-accounting-services-for-nonprofit-organizations/ process, maintain flexible adjustment processes, and establish strong documentation standards. Direct program costs include staff salaries and benefits, materials and supplies, dedicated facilities, transportation, marketing, participant materials, and essential equipment. This balanced approach to cost management strengthens your organization’s resilience while ensuring resources remain available…