As there were only six transactions, it was probably not too difficult. However, many enterprises have to record hundreds of transactions per day. Having individual T-accounts within the nominal ledger makes it much easier to collect the information from many different types of transactions. These transactions are reflected in the capital …
You need to also understand that bookkeeping isn’t just something easy that you can do without any training or experience. Not necessarily because bookkeeping itself is difficult, but because we are working with clients whose books are usually not very clean. Bookkeepers usually deal with the recording of transactions in a …
Our online invoicing solution factors in all of the best practices we’ve mentioned above making it the best tool for small businesses looking to do invoicing the right way. Eliminate the wait time and uncertainty of traditional mail by sending it directly to your client’s inbox and requesting a read receipt once it has been […]
LLC stands for “limited liability company”; it’s a U.S. business structure that protects its owner(s) from being personally responsible for (you guessed it) liabilities or debts of the business. Therefore it is best from a legal perspective for each LLC to have its own bank accounts and set of books to keep their own assets …
Intangible assets add to a company’s future worth and can be far more valuable than tangible assets. Both of these types of assets are initially recorded on the balance sheet, which helps investors, creditors, and banks assess the value of the company. Most companies choose to employ a mixture of both tangible and intangible assets […]
In this article, we will be discussing the prepaid insurance journal entry with some examples. Rather, they provide value over time; generally over multiple accounting periods. The reason is that the expense expires as you use it, thus, you can’t expense the entire value of the prepaid service immediately. So when making a journal entry …