This guide introduces the concept of accounting standards and explains why they are important to businesses trying to better manage their finances.
Accounting reports are statements that show the financial health of a business. Some reports show the results of a company’s operations over time; others reveal a snapshot of a company’s financial condition at a particular moment. Common examples of accounting reports include balance sheets, sta...
Reporting standards for earnings vary depending on the region in which a company is domiciled. The U.S. financial system uses Generally Accepted Accounting Principles (GAAP) as the standard. Under these principles, a company must also report retained earnings, which are profits from accounting earni...
According to the materiality principle, a policy of accounting policy can be neglected if the net effect on the accounting records is so minor that a viewer of the statements would not be misled. If an object is inconsequential, you are not needed to execute the regulations of an accounting ...
Businesses can streamline the accounts payable process with their accounting software tool. Investing in this technology is worthwhile for several reasons. Manual processes are always prone to human error. Errors from outside the company can also compromise the integrity of the financial data. Automated...
Accounting policies are the general financial principles an organization uses to report its earnings and losses. Policies differ from industry to industry, but they generally deal with expenses, inventory pricing, investments, payroll and other essential business categories. This flexibility brings up many...
Enterprise accounting articles are written and edited by: Zachary Totah Content Manager As SelectHub’s Content Manager, Zachary Totah leads a team of more than 35 writers and editors in their quest to provide content that helps software buyers find the right system for their company. Show More...
The article pointed out that codes of ethics often follow laws, but sometimes there is a lack of ethical behavior in the business world because laws are not made to enforce ethical behavior. For this reason, I believe that massive deregulation will often lead to deterioration in professional eth...
In accounting, assets are what a company owns, while liabilities are what a company owes. Liabilities are usually found on the right side of the balance sheet; assets are found on the left. What Are Examples of Assets and Liabilities?
Recommended Articles This has been a guide to what are Financial Statements. Here we explain these with examples, their types, elements, uses, importance, and limitations. You may learn more about basic accounting from the following articles – Cash Flow Statements Purpose Examples of SG&A Expenses...