Basic Accounting Help | Easy to Understand Templates & Examples

When a company produces products or services for customers and issues invoices for payment of those products or services, it is reasonable to assume that many of those invoices will not be paid. Unpaid receivables like these become bad debt expense and...

Manufacturing companies have choices in the way they determine and report their profits. Some choose to utilize the absorption costing income statement while others choose the variable costing income statement. Both income statements offer their own...

Although there are many different benefits of proper accounting, companies frequently rely on it for evaluative purposes. Meaning, they take advantage of their data to quantify their financial position. For instance, think about the way that the income...

In order to properly report their cost of goods sold, companies must resort to one of the three inventory valuation methods. These include the so-called FIFO, LIFO, and the weighted average cost flow assumptions. The FIFO method, which stands for the...