These statements report changes to your retained earnings over the course of an accounting period. The prior period balance can be found on the opening balance sheet, whereas the net income is linked to the current period income statement. From there, the company’s http://tkinterior.ru/design/2020/12/20/moy-opyt-s-kislotami-kisloty-dlya-novichka-chto-k-chemu-osia.html net income—the “bottom line” of the income statement—is added to the […]

This situation arises when the maker did not have sufficient funds in the underlying account to cover the amount of the check. When this situation occurs, the bank will likely charge a fee to the maker. If the maker has an overdraft protection agreement with its bank, then the bank will lend the shortfall to […]

Each category consists of several smaller accounts that break down the specifics of a company’s finances. These accounts vary widely by industry, and the same terms can have different implications depending on the nature of the business. Companies might choose to use a form of balance sheet known as the common size, which shows percentages […]

Deferred tax assets represent potential future tax benefits resulting from temporary differences between taxable income and accounting income. Temporary timing differences create deferred tax assets and liabilities. Deferred tax assets indicate that you’ve accumulated future tax deductions—in other words, a positive cash flow—while deferred tax liabilities indicate a future tax liability. Tax regulations can determine […]