Bookkeeping

As transactions occur within a business, the amounts of assets, liabilities, and owner’s equity change. The inventory (asset) of the business will increase by the $2,500 cost of the inventory and a trade payable https://www.bookstime.com/ (liability) will be recorded to represent the amount now owed to the supplier. Capital essentially represents how much the owners …

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You’ll also want to add integrations with any other business software service you already use. QuickBooks offers a range of integrations covering areas including sales, compliance, marketing, and cash flow forecasting. You can easily scan and upload receipts in real-time using the QuickBooks mobile app, so you don’t need to run helter-skelter to collect them …

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Content Streamline Your Photography Business Accounting Accounting Essentials for Photographers Cost of Goods Sold for Service Businesses The Best Photography Articles & Guides for Covid-19 Support Pricing For Commercial Photographers Their basic plan starts at $21/month, though most photographers go for the $58/month pro plan to access the best features. So if you make $50,000 …

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Implement systems to accurately track and report all payments to employees and contractors. Construction bookkeeping is a form of bookkeeping unique to the construction industry. Its purpose is to enable construction companies to have a better understanding of their financial situation through tracking and recording both expenses and incoming payments. Firstly, it allows contractors to …

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You can debit your Cash account and credit your Accounts Receivable account. How you create a bad debt recovery journal entry depends on your original bad debt journal entry. When a debt becomes bad, you write off bad debt in your accounting books. The accounts receivable aging method offers an advantage because it gives AR …

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If the standard variable overhead rate is higher than the actual variable overhead rate, the result is favorable variable overhead spending variance. On the other hand, if the actual variable overhead rate is higher, the variance is unfavorable. This means that the actual variable overhead cost during the period is higher than the overhead cost …

Overhead Variances Formula, Calculation, Causes, Examples Read More »

If yours is inaccurate, you’ll inevitably have issues with your financial statements. In this instance, one asset account (cash) is increased by $200, while another asset account (accounts receivable) is reduced by $200. The net result is that both the increase and the decrease only affect one side of the accounting equation. Such an investigation …

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Content Agricultural Payments to Nonresidents New W4 Form A note about exemptions What Income is Subject to Withholding? Special Considerations When Filing Form W-4 Credits & Deductions If you filled out a W4 for your job before the year 2020 then you do not need to fill out a new w4 form. Your employer can …

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For example, rising raw material prices may cause pressure to change the mix of materials. Even if the yield is not affected by the change in the mix, the quality of the final product may change. This can have an adverse effect on sales if customers do not accept the change in quality. If the …

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If you were audited by the IRS or state government, they will take a look at all your trackable income on bank statements, Square, Paypal, etc. If there is a discrepancy between your income calculated by the IRS, and what you reported on your tax return, you may face penalties and fees. The main reason …

Tips from an Accountant: The Best Way for Musicians to Do Their Taxes Read More »