Is A Home Loan An Asset Or A Liability?

Category: Bookkeeping

Is A Home Loan An Asset Or A Liability?

Interest becomes a liability only after the expense has been incurred. A company can always choose to prepay a debt obligation and thus not incur future interest charges. List the current portion of the loan payable and any accrued interest expense under Mortgaged Building an Asset on the Balance Sheet the current liabilities section of […] Read More »

Calculating Indirect Cost Recovery

Model Cost Policy Statement Indirect costs are necessary for all nonprofits to operate their programs. Indirect costs include the managerial staff, such as the Executive Director, Chief Financial Officer and their staff; Human Resources and IT staff; and depreciation costs for property and equipment. Without adequate funding, a nonprofit online bookkeeping would have to rely […] Read More »

Do I Have To Be Good At Math To Get An Accounting Degree?

Content Roles & Responsibilities Of An Accounting Department When Is Revenue Recognized Under Accrual Accounting? What Is The Difference Between Accrual Accounting And Cash Accounting? Solvency is the measure of how well a company will be able to meets its long term debt obligations. These ratios are critical in determining the health and long term […] Read More »

Balance Sheet

Because there are two or more accounts affected by every transaction carried out by a company, the accounting system is referred to as double-entry accounting. The assets on the balance sheet consist of what a company owns or will receive in the future and which are measurable. For an illustration of some of these computations […] Read More »

Cash Basis Definition

Content Choosing An Accounting Method Trial Period Defining The Accrual Accounting Method What Is The Difference Between Accrual Accounting And Cash Accounting? Shifting Income To Defer Taxes: Choosing An Accounting Method The cash accounting method is more popular among smaller businesses. Sole proprietors, especially those who don’t have inventory, are particularly likely to use cash […] Read More »

The Vertical Balance Sheet

If the purchase of computer equipment is $50,000 it would meet the capitalization threshold. The second standard is whether the equipment will be used within the classified balance sheet categories first 12 months of purchase. If the equipment is deemed to have a three-year lifespan, the company could elect to list it as a fixed […] Read More »

2020 Pilot Reviews, Pricing & Popular Alternatives

Under the simulated conditions direct monitoring of the CO2 front with active seismic measurements will not be feasible as the reservoir layers are too thin and the effects of CO2 gas replacing reservoir gas are too small. Seismic monitoring has to concentrate on the detection of possible leakages in shallower aquifers where larger velocity and […] Read More »

What Does Amortization Mean?

Content What Is An Amortization Table And How Does It Work? Business Operations Bad Reasons To Refinance Your Mortgage Also, it’s important to note that in some countries, such as Canada, the terms amortization and depreciation are often used interchangeably to refer to both tangible and intangible assets. When businesses amortize expenses over time, they […] Read More »

Journal Entry For Profit On Sale Of Fixed Assets

Content Operating Income Vs Gross Profit Learn More About Pure Profit Pros And Cons Of Supernormal Profit How Do The Balance Sheet And Cash Flow Statement Differ? Example Of Profit’S Effect On The Balance Sheet Operating Income Vs Gross Profit They also train healthcare professionals on the use of biomedical equipment and provide technical support. […] Read More »