Calculating annual income for self-employed and freelance workers can be more complex due to fluctuating income streams, varied payment schedules, and the need to account for business expenses. However, understanding both your gross and net annual income is critical for budgeting, financial planning, and meeting your tax obligations. Now, you must determine whether you will […]
Imagine that you are the owner of a small business that manufactures and sells widgets. You are considering expanding your business by opening a second factory. Shaun Conrad is a Certified Public Accountant and CPA exam expert with a passion for teaching. After almost a decade of experience in public accounting, he created MyAccountingCourse.com to […]
Once you have viewed this piece of content, to ensure you can access the content most relevant to you, please confirm your territory. These materials were downloaded from PwC’s Viewpoint (viewpoint.pwc.com) under license. Approach 2: proportionate change in the remaining ROU asset While the modified lease liability value was calculated above, in this approach, the […]
To terminate a lease is to cancel the agreement before the end of the specified lease term. Many lease agreements may include an option for either lessees or lessors to terminate the agreement prior to the end of the original lease term. Lease termination options can include notice requirements, termination penalties, and adjustments to previously […]
Finally, without properly prepared financial statements, filing your taxes can be a nightmare. Not only do financial statements tell you how much income to report, but they also give you an overview of the expenses you’ve incurred—some of which can be written off as small business tax deductions. The cash flow statement then takes net […]
The result is the gross profit, which illustrates a company’s efficiency in generating revenue while managing the production costs. Gross and net are two essential concepts in finance and accounting, often used in the context of income, salary, and business revenue. Gross refers to the total amount of money earned before any deductions are made, […]
For investors looking to invest in a company, net income helps determine the value of a company’s stock. Since net income is the last line at the bottom of the income statement, it’s also called the bottom line. Net income reflects the total residual income after accounting for all cash flows, both positive and negative. […]
Check out a quick overview below of the four types of financial statements in accounting. Read on to learn the order of financial statements and which financial statement is prepared first. Learn the importance of the order of financial statements in small business accounting. Various analytical techniques, such as ratio analysis, trend analysis, vertical and […]
Many of the payment processors that are not specifically designed for legal professionals should only be used for earned fees (operating), if at all. It includes “full” accounting functionality and payment processing, as well as practice management features, document assembly and customizations for many practice areas. It can be self-hosted (on-premises server) or hosted in […]
If you reconciled a transaction by accident, here’s how to unreconcile individual transactions. Learn what to do if your accounts in QuickBooks Desktop don’t match your bank statements at the end of reconciliation. Brief Accounting started as a Mac billing product but is now available for Windows as well. The product has been on the market […]