New requirements prohibiting subjective estimates have led to a decline in the number of general provisions created. Upgrading to a paid membership gives you access to our extensive collection of plug-and-play Templates designed to power your perfor... Read more
Tax provisions are an amount set aside specifically to pay a company’s income taxes.In order to calculate the tax amount owing, a business needs to adjust its gross income by the amount of tax deductions it is claiming. In financial accounting... Read more
To calculate your pro rata share, you would take the total value of your bonus and multiply it by the proportion you’re entitled to. Imagine that you’re an employee at a company, and you’re entitled to receive a $5,000 bonus this... Read more
The interest rate is one of the critical indicators of the length of your loan and the total repayment figure. The principal amount of an investment can earn interest, but compounding is when the interest you earn is added back to the principal bala... Read more
Simply add it as a current asset as long as it’ll be used up within the year. Then subtract the appropriate portion off every accounting period — likely monthly, but possibly quarterly or annual. However, if in case the company pays for more t... Read more
If a business is looking to increase its deductions to help lower its taxes in a given year, prepaying for some of its expenses may be an effective strategy. The expense will be debited as an asset in a prepaid account, such as insurance or rent. Co... Read more
The properties of PP are strongly affected by its tacticity, the orientation of the methyl groups (CH3 in the figure) relative to the methyl groups in neighboring monomer units. Commercially available isotactic polypropylene is made with two types o... Read more
Explore the future of accounting over a cup of coffee with our curated collection of white papers and ebooks written to help you consider how you will transform your people, process, and technology. Accelerate adoption and drive productivity and per... Read more
The par value also determines the dollar value of coupon payments. This price was printed on paper stock certificates before they became antiquated for newer electronic versions. If a company did not set a par value, its certificates were issued as... Read more
However some people think of overheads as fixed costs while others think of them as indirect costs, and there are subtle differences between the two. Because of this inconsistency, it’s a good idea to avoid using the term. According to the IRS... Read more
