Nov 21 2023
By maintaining meticulous financial records, you establish a solid foundation of transparency and accountability. This not only fosters trust among stakeholders but also equips you with the necessary documentation to substantiate your financial affairs in the event of scrutiny. In essence, accurate bookkeeping is a strategic imperative for any business, safeguarding its fiscal health and […]
The accounting process consists of activities involved in preparing financial statements and includes identifying, recording, and summarizing a business’s financial transactions. The accounting cycle is the series of steps required to complete the accounting process. Because the accounting process repeats with each reporting period, it’s referred to as the accounting cycle. The transactions that cannot […]
Therefore, expenses related to interest play the role of a shield against tax obligations. In other words, the tax shield protects part of the taxpayers income from being taxed. The tax shield benefits are determined by the overall tax rate as well as cash flow for a specific tax year. As the name suggests, tax […]
Freshbooks has advanced tools, including accounting software that gives you 24/7 access to financial data. An external accountant will provide you with accurate and detailed financial reports, ensuring you stay competitive as your business grows. Although it may sound counterintuitive, one of the main benefits of outsourcing accounting is that it can actually save your […]
Variable expenses can be compared year over year to establish a trend and show how profits are affected. The contribution margin formula is calculated by subtracting total variable costs from net sales revenue. The contribution margin is a measurement through which we understand how much a company’s net sales will contribute to the fixed expenses […]