Accounting

Definition: Debit is a very commonly used term found in almost any financial statement. Its utility exceeds far beyond accounting statements. Debits are made into the left column of an account as part of the double accounting system. Any amount entered on the left-hand side will always be a debit amount in a general ledger. […]

All businesses are built on various functions in which they are experienced. The actions of companies contribute to the increase in production and the organization’s expansion. Every company sets together various rules and procedures to ensure that these operations operate as efficiently as possible. To ensure that they abide by all the government regulations while still satisfying employees and

ERP includes functionalities of the accounting software, plus other functional modules like supply chain, inventory, eCommerce, order processing, customer management, human resources, etc. These modules are integrated with the accounting module and each other. This integration of accounting functions with other modules helps to increase the efficiency of the overall process for business management. It’s

The budgeted balance sheet is just like a balance sheet, i.e., it contains all the assets, liabilities, payables, capital depreciation, amortization, etc, exactly like a balance sheet, but there is one big difference and that is that the budgeted balance sheet, unlike the balance sheet, presents the future balance sheet. In contrast, a balance sheet

A financial statement is simply a snapshot of your business finances. It is a financial document that summarizes the financial position of a business entity and includes an analysis of its performance over time. As with any business analysis, a financial statement is only as good as the information and data available. The accountant’s responsibility

Accounts receivable is an account in the balance sheet that represents the amount customers owe to a company. This account holds all the receivable balances which may come from various customers. For most companies, this account also represents the total credit sales made by a customer with pending payments. Any company that offers a credit

Overview To establish or develop the business, the organization may need to borrow money from a bank or other financial institution. Similarly, a formal loan-received journal entry will be necessary when the firm gets the loan’s funds. In addition, interest will be charged on loan from the first day it is received. As a result,

Overview When an organization has an interest-earning bank deposit or another interest-bearing receivable, it should account for any interest receivable at the period’s end by adjusting with a correct journal entry. This is because interest (income) is gained over time. Similarly, the company’s total assets and total revenues on the balance sheet and income statement