Bookkeeping

That only occurs when inflation is a factor, but governments still don’t like it. In addition, there is the risk that the earnings of a company that is being liquidated can be artificially inflated by the use of LIFO accounting in previous years. Last in, first out (LIFO) is a method used to account for […]

Properly tracking such assets is essential for compliance and reporting purposes, providing transparency about how funds are allocated and used within the organization. We are passionate about bringing clarity to nonprofit leaders in the complex world of nonprofit accounting. We’ve found that sometimes clients have hidden errors buried in their bookkeeping that may be causing

The XIRR function on the other hand regards the exact date of the cash flow. The first argument contains the values, usually some kind of cash flows. The internal rate of return is the interest rate received for an investment consisting of payments (negative values) and income (positive values) that occur at regular periods. Understanding

For example, if you have a tax rate of 24 percent and you have $2,000 in mortgage interest, you can determine that your tax shield would be $480. There are all sorts of opportunities to help reduce the total tax amount you owe when submitting tax filings. In this post, we’ll dive into a concept

For the interest that accrues, you’ll also need to record the amount in your Interest Expense and Interest Payable accounts. The face of the note payable or promissory note should show the following information. You can compare the rate you’d earn with notes payable to rates on similar assets such as fixed-rate bonds, Treasuries, or

Rebalancing is the periodic process where investors return their portfolio to its original asset allocation mix. Rebalancing is required since certain investments will grow faster than others over time. As a result, it may cause your holdings to diverge from your investment objectives. By rebalancing, you safeguard that your portfolio is not overweight in any