Archives of Bookkeeping

Embracing these tools allows organizations to focus more on their mission while ensuring their financial practices are sound and compliant. Regularly reviewing and updating the COA is crucial for adapting to changes in the organizationâ?? This practice helps ensure that financial reporting remains accurate and relevant. A clear and comprehensive COA not only facilitates better […]

An example of such cost is the cost of material, labour, and overheads employed in manufacturing a table. If it is a period cost, determine if the cost is related to selling the product or the general administration of the company. Terms like administrative indicate that the cost is an administrative cost. A period cost […]

The most common credits and debits made to Retained Earnings are for income (or losses) and dividends. Occasionally, accountants make other entries to the Retained Earnings account. While income statements and balance sheets often grab the spotlight, this unsung hero offers powerful insights into financial health. For CEOs and CFOs, it’s more than just a report—it’s […]

Establishing a meaningful system for allocating joint production costs between departments can be complex and expensive, depending on how many processes are involved. It can also lead to errors if the cost allocation process is incorrectly done. Process costing helps in budgeting as it provides an estimate of the cost of production for a specific […]

This guide will explore everything you need to know about nonprofit accounting. When beginning nonprofit accounting, the first decision is whether to use the cash, accrual, or fund accrual accounting method for recording income and expenses. Additionally, you’ll need financial statements to obtain and maintain funding, grants, and other forms of support. Accurate financial statements […]