Category Archives: Bookkeeping

For hourly employees, this is calculated by multiplying hourly pay with the number of hours, including overtime. For salaried employees, this is calculated by dividing the total yearly or annual pay of the employee by a number of pay periods such as 12. Taxable wage base – The maximum amount of employee compensation subject to Social […]

This could happen when it has been assumed that deposited funds have cleared the bank and are available for use, or when a bank reconciliation is not properly updated. Either way, the result is the bank issuing an overdraft statement. On July 1, 2020, the company ABC withdraws $10,000 of the bank overdraft to use […]

Interest rate risk is the spread between interest paid on deposits and received on loans over time. Deposits are typically short-term investments and adjust to current interest rates faster than the rates on fixed-rate loans. If there is not a sufficient balance in the cash and cash equivalent, the overdraft figure is shown on the […]

Wave legal accounting software has been advertised as a great option for solo small practices, particularly due to its affordability. It offers various service options, including a free plan that still includes numerous features necessary for a firm’s general accounting needs. With Wave, firms can link their bank’s accounts to see income and expenses quickly on […]

You can also increase the bank balance in your records by $2,000 to reflect the deposit and then decrease it by $1,000 to account for the uncashed check. This adjustment will bring your balance to $6,975, reconciling the differences. So, as of May 31, the company’s ledger or cash account shows a debit balance of […]

Looking at their Consolidated Statement of Earnings, we see a line item labeled “Investment and derivative contract gains (losses)”. It reveals that the company suffered almost $68 billion in losses from its investments and derivative contracts in 2022. Typically, these funds are required to use MTM on their portfolios on a daily basis. This allows […]

From this analysis, Manteo Machine knows that sales will have to decrease by $72,000 from their current level before they revert to break-even operations and are at risk to suffer a loss. Our discussion of CVP analysis has focused on the sales necessary to break even or to reach a desired profit, but two other […]

This Financial Accounting Fundamentals Course is offered by University of Virginia, a premier institute in higher education. It teaches the tools needed to understand the fundamentals of financial accounting. The students learn to prepare the 3 most commonly used financial statements – the Balance Sheet, the Income Statement, and online accounting the Statement of Cash […]

You should consider taking a bookkeeping that provides you with a certificate upon completion. This will indicate to potential employers that you’ve completed extensive education and are highly knowledgeable in professional bookkeeping. Illumeo is a terrific choice, although Penn Foster is also very effective. With its powerful mobile app, it is also useful for businesses […]

For more information about how QuickBooks Online Advanced differs from the other QuickBooks Online plans, read our QuickBooks Online plans comparison. The Master Admin for your Quickbooks Accountant account must set up a Box account before you can request or receive documents. You can request and share documents quickbook online accountant with your clients directly […]