It’s a method a construction company uses to record and report financial transactions and progress from beginning to end. It’s also crucial when a company needs to secure bank loans, demonstrate bond […]

The principal on your car loan is the sum of money you borrowed from the lender. Your typical monthly payment goes toward what you owe on the principal, the accumulated interest and loan fees. The len […]

This higher coupon will increase the overall cost of taking on new projects or expansions. Callable bonds typically pay a higher coupon or interest rate to investors than non-callable bonds. The compa […]

Interest Expense is debited and Interest Payable is credited for three months of accrued interest. Each year, the unamortized discount is reduced by the interest expense for the year. This treatment e […]

While bookkeeping software makes the process more organized, many businesses still struggle with the day-to-day workload and expertise required. Prepare now by continually learning new skills that set […]

The key example of a contra equity account is Treasury stock, which represents the amount paid to buyback stock. The use of contra expense accounts also aids in identifying trends and anomalies in exp […]

A marketing agency that offers several payment methods can encourage customers to settle their invoices much faster. However, before offering individual payment options, it is important to understand […]

When a customer pays too much, the extra can be offset with a debit memo. This allows the accounting department to clear it out by sending the memo back to the customer. If the extra amount in a custo […]