This tax is in addition to any state unemployment insurance you may owe. The Federal Unemployment Tax Act (FUTA) is a federal law that imposes a payroll tax on most employers. The money raised through FUTA is allocated to state unemployment insuranc... Read more
Working with a professional freight forwarder and obtaining good freight knowledge is the best way to avoid shipping complications. Disruptions and innovation are changing today’s supply chain at a rapid clip. Charges, especially ocean fr... Read more
Depending on where the cargo is traveling, they will usually send you some documentation, and ask you to sign an agreement stating that you wish for the forwarder to handle your shipment. For small products that will inevitably be shipped by air, or... Read more
As with all Incoterms, FOB does not define the point at which ownership of the goods is transferred. The FOB shipping point agreement places the risk of loss or damage with the buyer during transit. The buyer assumes ownership and responsibility for... Read more
A flexible budget, while much more time-intensive to create and maintain, offers an incredibly precise picture of your company’s performance. Due to the ability to make real-time adjustments, the results present great detail and accuracy at th... Read more
If the asset's value falls below its net book value, the asset is subject to an impairment write-down. This means that its recorded value on the balance sheet is adjusted downward to reflect that it is overvalued compared to the market value. More t... Read more
Due to the sensitive nature of the production, Joe needs a consistent, high-quality, dependable supplier of raw materials. So, he reaches out to his distributor X, who supplies him with condensers and compressors. Also, according to the terms, he mu... Read more
While earnings are a company’s revenue minus operation expenses, earnings per share are the earnings remaining for shareholders divided by the number of outstanding shares. If a company has high earnings per share, investors perceive them to b... Read more
Once the balance of each account is calculated, all numbers should be recorded into your business’s accounting database. Based on these entries, an accountant should prepare the necessary reports to highlight the current financial position of... Read more
Long-term assets include intangibles like intellectual property and patents, along with property, plant, and equipment (PPE) and investments. When the balance sheet is not available, the shareholder’s equity can be calculated by summarizing th... Read more
