For many home-service businesses, QuickBooks Online is the obvious choice. This is especially true for smaller companies, which don’t have an in-house accountant tied to a desk but that do have employees who are always on the go. QBO is more affordable and agile than the desktop version of the software, and its inherent mobility […]

If the bank shows money deposits not reflected in your internal books, make the entries. If you have an interest-bearing account and you are reconciling a few weeks after the statement date, you may need to add interest as well. Account reconciliation is particularly useful for explaining any differences between two financial records or account […]

You can also ask an accountant to provide proof of their license and credentials. Have a complete plan for effectively spending, so you save hundreds, if not thousands, of dollars in the long run. Meet every crucial tax filing deadline and never miss a paycheck deposit to your employees. It doesn’t matter where your company […]

The balance of the paid-in capital from treasury stock will be presented in the section of the additional paid-in capital on the balance sheet. In this journal entry, the credit of the common stock is the entire proceeds we receive from issuing of the common stock. As the common stock has no par value, regardless […]

The partner or shareholder must reduce its applicable adjusted basis by the depletion allowed or allowable on the property each year. The partner or shareholder must use that reduced adjusted basis to figure cost depletion, or its gain or loss, if the partnership or S corporation disposes of the property. For purposes of percentage depletion, […]

In either case, the combination of the value of an investment in the company and the cash they hold will remain the same. Miller and Modigliani thus conclude that dividends are irrelevant, and investors shouldn’t care about the firm’s dividend policy because they can create their own synthetically. However, dividends remain an attractive investment incentive, […]

They can help guide your search and understanding of the types of tax preparers available. Certified Public Accountants (CPAs) are knowledgeable about the tax code and can help you maximize your tax savings. Also, they can represent you before the IRS to help you deal with audits or collections. Visit your state CPA society’s website […]

I’m also open to other questions about QuickBooks Online. You can also check our Year-end checklist in QBDT. This will guide you through the process of completing your task in QuickBooks so you can close your previous year and prepare for the upcoming one. For additional reference, you can check this article on how to resolve A/R […]

LIFO reserve is the difference between accounting cost of inventory calculated using the FIFO method and the one calculated using the LIFO method. It is an inventory costing method where the goods placed last in an inventory are sold first. The goods placed first in the inventory remain in the inventory at the end of […]

This video explains several types of stocks and how they are presented in a balance sheet, including shares outstanding. Companies can also undergo a reverse stock split or share consolidation. The shares available to investors on the open market are commonly called the float. In general, stocks with low floats will experience more volatility than […]