Bookkeeping

When goods are involved in a sale, other entries in accounts must be made in addition to those listed above. These additional accounts include cost of goods sold and inventory. It also is not necessary to write an explanation of the transaction because only credit sales are recorded. In this case, the money…

When selling online, you first need to determine if you are required to collect sales tax from buyers in your buyer’s state. Next, you need to determine the sales tax rate at the buyer’s location. Knowing how to calculate sales tax is important, especially if you’re saving up for a large purchase. Taxation…

If your business accepts checks as a form of payment, there will likely be a day when one of those checks is returned for non-sufficient funds. While your initial response may be anger, there are actionable steps you can take to resolve the situation and get paid. Though customers like writing checks because…

Includes non-AP obligations that are due within one year’s time or within one operating cycle for the company (whichever is longest). Notes payable may also have a long-term version, which includes notes with a maturity of more than one year. Liabilities are presented as line items, subtotaled, and totaled on the balance sheet.…