overdraft
Overdraft – Definition, Types, Pros and Cons

Overdrafts are an ordinary part of banking life. They can happen when you make a transaction more than your available

initial public offering (IPO)
Initial Public Offering (IPO): Overview

Private companies are involved in a process called initial public offering occurs when a private business or corporation makes its

working capital loan
What is a Working Capital Loan?

The working capital loan, also referred to as working capital advances or working capital lines of credit, are unsecured loans

disposable personal income
Disposable Personal Income (DPI)

The financial metric known as disposable income gives you an idea of how much money is left over after taxes.

non-marketable securities
Non-Marketable Securities

A financial instrument known as security is any financial asset that can be traded. Securities are classified as marketable and non-marketable securities.

return on investment (ROI)
Understanding Return on Investment (ROI)

ROI is a key metric for measuring a company’s success. It indicates how much profit a company makes in relation

treasury bills
Treasury Bills – Definition, Pros, and Cons

Issuing debt securities for investors to buy is one of the most efficient tools the government has at its disposal

depletion
Depletion – Definition, Types, And Uses

Oil, natural gas, coal, and other types of natural resources are among those that are drilled for or harvested from

difference between cost and expenses
Difference Between Cost and Expenses

Technically, cost and expense are the same meaning. However, they have distinct meanings when used in the context of business.

difference between shares and debentures
Difference Between Shares and Debentures

After reading an article about methods of raising funds i.e debt and equity financing, john found two methods (shares and debentures)

IFRS and GAAP
Difference Between IFRS and GAAP

The accounting information became less valuable and incomparable due to the many accounting policies and the accounting treatment of transactions

Single-Entry System of Accounting

A single-entry system (also known as a cash basis accounting) involves recording transactions when the money is paid instead of when

comparative financial statements
Comparative Financial Statements

Comparative financial statements present financial information for two or more reporting periods. This can help analyze the company’s financial health

What is Contra Account? – Definition, Types, Bene...

Contra accounts help determine a company’s historical cost; these accounts assist financial managers, and accountants in maintaining clean and easy-to-track

What are Cash and Cash Equivalents?
What are Cash and Cash Equivalents?

A business that generates enough cash can meet its daily needs while staying out of debt. However, a company will

redemption of debentures
Redemption of Debentures- methods and journal entries

Companies raise funds from different sources like issuing shares, borrowing from financial institutions, retained earnings, etc. Another main source of

issuance of shares at par, premium and discount
Issuance of shares at Par, Discount, and Premium

Table of Contents Shares are the small dominations of capital that firm issues to the general public, insiders,  institutional investors,

calculation and interpretation of ratio analytics
Calculations and Interpretations of Ratio Analysis

By examining financial statements including the balance sheet and income statement, ratio analysis is a quantitative approach to acquiring insight

Ratio analysis
Ratio Analysis-Types ,& Importance

Ratio analysis can provide insight into companies performance by comparing its performance and financial health over time. At the same

Bank Reconciliation Statement
Bank Reconciliation Statement – a detailed guide

In general, businesses or clients open a current account with a bank, conduct transactions, and record them in a bank

What Is Accrual Based Accounting?

One of the critical responsibilities of business owners and accountants is selecting an accounting technique to record transactions. Accrual-based accounting