The arm's length dealings in this case, mean that both an employee and a supervisor each have a qualified advocate. The type of sale can provide some clarity into whether the transaction was (or currently is) an arm’s length transaction, wheth... Read more
Any remaining balance in the Prepaid Insurance account is what you have left to use in the future; it continues to be an asset since it is still available. At the end of the month 1/12 of the prepaid insurance will be used up, and you must account f... Read more
Adam received his master's in economics from The New School for Social Research and his Ph.D. from the University of Wisconsin-Madison in sociology. He currently researches and teaches economic sociology and the social studies of finance at the Hebr... Read more
Instead, there is accounting guidance that determines whether it is correct to amortize or depreciate an asset. Both terminologies spread the cost of an asset over its useful life, and a company doesn't gain any financial advantage through one as op... Read more
The distinction between arguments and adjuncts and predicates is central to most theories of syntax and grammar. The omission diagnostic, for instance, helps identify many arguments and thus indirectly many adjuncts as well. If a given constituent c... Read more
An activity-based costing system (also known as ABC System) is a two-stage procedure for assigning overhead costs to products, which focuses on the major activities performed in the production process. However, as the percentages of indirect or over... Read more
In Year 2, Company ABC would recognize $1,600 (($10,000 - $2,000) x 20%). An asset's book value is the asset's original cost minus the accumulated depreciation. �� Current book value refers to the net value of an asset at the start of... Read more
For example, a business customer places a reservation cash deposit on a Tesla automobile, expecting delivery to occur several months later. Recording accrued revenue as a part of accrual accounting can help a business be agile by anticipating expens... Read more
It would record the following journal entry on receipt of goods on credit from its supplier. These payment terms specify the time period you will take to make payment to your suppliers. You need to add details of all your suppliers into your account... Read more
Read this tutorial to become familiar with the different cell structures and their functions... It delves into the development of plant roots, the root structure, and the major regions of a plant root. It also talks about the different forms of roo... Read more
