Bookkeeping 101

In the chart of accounts, the Cash account is a current asset account. Office Supplies is an operating expense account, and Accounts Payable is a liability account. Asset accounts, for example, can be divided into cash, supplies, equipment, deferred …

Supplier Relationship Management is the process of planning and managing all relationship with vendors that supply any products or services to a business. This may involve raw material suppliers, utility suppliers or cleaning services suppliers….

Selecting the right suppliers for your business needs is vital to ensure that you are able to deliver your products and services on time, at the right price, and in compliance with your quality standards. By implementing specific supplier’s selection…

The invoice is created by a supplier, and it is a statement of services or products produced and delivered to a customer, including the amount owed. An invoice may be created before or after the product or service is received….

For large scale businesses where many transactions are conducted, it may not be convenient to enter all transactions in the general ledger due to the high volume. In such cases, individual transactions are recorded in ‘subsidiary ledgers’, and the to…

Subsidiary ledgers contain detailed information regarding business transactions and financial accounts. This information is maintained separately from the company’s general ledger. Large business organizations often use subsidiary ledgers because the…

Subsequent event is the accounting term for a financial transaction that occurs after completion of the balance sheet for a specified period but before the company’s full set of financial statements is prepared….

Walmart Express stores, including those branded as Neighborhood Markets. On February 15, 2017, Walmart announced the acquisition of Moosejaw, a leading online active outdoor retailer, for approximately $51 million….

Notice that the effect of this journal is to post the interest of 4,249 to the interest expense account. In the straight line amortization method, the bond’s carrying value changes each period while the bond interest expense each period remains the s…

A popular method of accelerated depreciation is the double-declining method. This method begins the depreciation process at 200 percent of the straight-line method. The calculation subtracts salvage value from the cost of the asset. The total is then…