Definition Notes payable or promissory note is a promise in writing that a certain amount will be paid in the future. In other words, it’s … Read more
Notes receivable is the written promise to receive principal and interest in the future. In simple words, note receivable is a written, unconditional promise by … Read more
EAM and ERP are sophisticated resource management systems. As the business world is highly dynamic and requires active monitoring of the business processes to survive … Read more
Inventory management is crucial for the successful run of a business as it helps to control the cost and enhance profitability. Further, efficient management of … Read more
ERP is an advanced system of business management that integrates different operating modules and business intelligence. It helps in effective business management with real-time reports … Read more
The concept of materiality helps an accountant decide which account balances should be disclosed separately and which of the account balances should be merged. The … Read more
The mortgage loan concept is assets are given as security against receipts of the funds. Mostly, banks and other financial institutes provide loans of 80% … Read more
Fair Issac Corporations calculate FICO score. Different lenders used the FICO score of the borrower to decide on the extension and approval of the loans. … Read more
A credit score from 670 to 829 is considered to be a good credit score. It also exhibits the fact that you’ve been the responsible … Read more
The stock split is when the company divides its existing shares into multiple new shares. It’s not an issuance of the equity or raise of … Read more
Consolidation, mergers, and joint ventures are the concepts of the business when a business acquires another business. The arrangements may be different from company to … Read more
GAAP refers to generally accepted accounting principles. It’s a set of procedures, accounting principles, and accounting standards related to business reporting and financial accounting. The … Read more
A merchant cash advance is a way to finance your business with greater flexibility and fewer hustles of procedural formalities. The most significant advantage of … Read more
A bank reconciliation statement is a process to align the bank statement with the bank balance in the business books. Normally, the balance in your … Read more
Financial accounting is a branch of accounting that deals with the recording, summarizing, and reporting of financial information within an organization. In other words, financial … Read more
Bookkeeping accounting uses the basic accounting concepts in keeping a record of the business transactions and presenting them to an accountant for their perusal to … Read more
Financial accounting is about financial transactions and accounting systems. The end product of financial accounting is the preparation of the financial statement. The scope of … Read more
Today, the biggest check in the list of compliance is the implementation of the IFR-16. An idea to recognize the right to use in the … Read more
Current expected credit loss-(CECL) was introduced by the Financial Accounting Standard board in 2016. CECL model changes the allowance recognition from incurred mode to expected … Read more
Understanding accounting principles and concepts provide a strong base for you to prepare a set of financial statements. Following accounting principles is necessary to meet … Read more