Stock Dividend vs Stock Split: Difference and Comparison

A stock split occurs when a company decides to divide its number of outstanding shares into smaller units. For example, you owned 50 shares of stock at $10 per share and a company declared a two-for-one split, you would now own 100 shares at $5 per share. But in this case, it is important to […]

Free Online Bookkeeping Course and Training

In order to obtain the bookkeeper certification accredited by the NBA, you need to complete the accounting fundamentals course and pass the uniform bookkeeper certification exam. The following are examples of bookkeeping organisations that provide a host of bookkeeping programs to help you learn and enhance your bookkeeping knowledge. Gain the professional skills you need […]

Gross Profit Margin: Formula and What It Tells You

The more value you generate from a single customer, the more resources you’ll have to invest in retention, acquisition, and hiring talent to fine-tune your strategies. Measuring and tracking customer lifetime value is one of the most important actions you can take for your company. CLV is like a business health predictor, showing how strong […]

Depreciation Journal Entry: How To Control Your Journal Entries And Accounting

A reduction in the value of tangible fixed assets due to normal usage, wear and tear, new technology or unfavourable market conditions is called Depreciation. Whether you maintain the provision for depreciation/accumulated depreciation account determines how to do the journal entry for depreciation. It is a balance sheet item which its normal balance is on […]

26 CFR § 1 263A-8 Requirement to capitalize interest. Electronic Code of Federal Regulations e-CFR LII Legal Information Institute

Interest is to be capitalized for assets being constructed, asset intended for sale or lease as discrete projects, or investments accounted for by the equity method while specific investee activities occur. Interest of $12,981,000 and $2,106,000 was capitalized during 2018 and 2017, increasing earnings per share by 25% and 4%, respectively. The amortization of interest […]

The difference between accruals and deferrals

For example, if a company provides a service in June but doesn’t receive payment until July, the revenue would still be recorded in June under accrual accounting. Similarly, if the company receives a bill for utilities in June but doesn’t pay it until July, the expense would be recognized in June. The focus here is […]