Direct costs are those costs that can be directly attributed to a product or product line, or to one source of sales revenue, or one business unit or operation of the business. An example of a direct cost would be the cost of tires on a new automobile. Indirect costs are very different and can’t …
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If you have a checking account, of course you balance it periodically to account for any differences between what’s in your statement and what you wrote down for checks and deposits. Many people do it once a month when their statement is mailed to them, but with the advent of online banking, you can do …
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There is an increase in demand for knowledgeable accountants all over the world. When you say knowledgeable, the accountant must know how to perform various duties like bookkeeping, tax preparation, company audits, and even to a certain degree project management. The demand for the best accountants in different industries are due to the updated laws, …
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When you think of accountants, you probably just think there is only one type of accountant. However this is a mistake that many people make about accountants. Just like other professionals such as lawyers, there are different fields that accountants can go into. The accounting industry is split into three different types of accountants that …
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Building a financial cushion for your business is never easy. Experts say that businesses should have anywhere from six to nine months worth of income safely stored away in the bank. If you’re a business grossing €250,000 per month, the mere thought of saving over €1.5 million in a savings account will either have you …
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Irish accountancy is somewhat different from American accountancy, in that there are more regulatory standards for accounting in Ireland than in America. In America, companies must follow the Generally Accepted Accounting Principles (GAAP) set down by the Financial Accounting Standards Board. The Irish and UK uses the generally accepted accounting principles as a standard for …
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Accounting fraud is a deliberate and improper manipulation of the recording of sales revenue and/or expenses in order to make a company’s profit performance appear better than it actually is. Some things that companies do that can constitute fraud are: Not listing prepaid expenses or other incidental assets. –Not showing certain classifications of current assets …
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It’s obvious financial statement have a lot of numbers in them and at first glance it can seem unwieldy to read and understand. One way to interpret a financial report is to compute ratios, which means, divide a particular number in the financial report by another. Financial statement ratios are also useful because they enable …
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To prepare a reasoned and thoughtful budget, an accountant must start with a broad-based critical analysis of the most recent actual performance and position of the business by the managers who are responsible for the results. Then the managers decide on specific and concrete goals for the coming year. It demands a fair amount of …
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Most people probably think of bookkeeping and accounting as the same thing, but bookkeeping is really one function of accounting, while accounting encompasses many functions involved in managing the financial affairs of a business. Accountants prepare reports based, in part, on the work of bookkeepers. Bookkeepers perform all manner of record-keeping tasks. Some of them …
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