Category: Bookkeeping

A jumbo mortgage is usually for amounts over the conforming loan limit, which can change each year. In 2024, this limit is $766,550 for most parts of the U.S. and $1,149,825 for high-cost areas. Crunch the numbers first and determine exactly how much money you need. While simple interest is less common, you might encounter this…

To see how your firm can use our trade name vs business name legal trust accounting software to streamline financial processes, fill out the interest form on our website and get started using CosmoLex today. One of the standout features of LeanLaw is its seamless integration with trust accounting QuickBooks Online, a widely used accounting…

This makes QuickBooks Online ideal for contractors who manage their own books. That’s why so many in the industry are now on the lookout for the best accounting software for construction. When used properly, it can streamline your day-to-day financial processes, help you manage project costs more efficiently, and improve your efficiency across the board.…

The salvage amount or value holds an important place while calculating depreciation and can affect the total depreciable amount used by the company in its depreciation schedule. Salvage value is also known as scrap value or residual value and is used when determining the annual depreciation expense of an asset. In accounting, an asset’s salvage…

With QuickBooks Online, it’s even easier to reconcile bank accounts because you only need to tick transactions until the cleared balance matches the statement balance. At first glance, you can see that the June ending bank statement balance ($9,970) and check register balance ($11,800) don’t agree. Since there are timing differences in book and bank…

This crucial part of financial forecasting allows you to predict how your company will do next year, as it’s easy to look at sales figures, like total sales, and think your company is making X amount. In reality, you could have numerous delinquent accounts and long-term debt impacting your actual cash flow. The aging of…

Understanding the distinction between these two fees is important for investors, as it helps to make informed decisions about where to invest based on the cost of different funds. Often the management fee is initially based on the total investor commitments to the fund (i.e., the fund size) as investments are made. After the end…

If the invoice is proper and valid but does not have an invoice date, the discount period starts on the date the agency received the invoice. As a cash discount works as a reward for the customer, it has a strong impact and is immediately appealing. It incites actions to be taken immediately on something…

Managers must possess a strong understanding of accounting principles and be able to analyze financial reports effectively to make well-informed decisions. Clear and concise financial reports generated through management accounting facilitate effective communication among departments and management levels. These reports give stakeholders a comprehensive overview of the organization’s financial health. Management accounting facilitates performance evaluation…

Preferred stock prices are generally also consistent like bond prices and may not offer the potential for growth that most common stock does. However, in the event a company goes bankrupt, preferred stockholders receive payments before common stockholders. Preferred stock, on the other hand, usually has a greater claim to dividends. While they don’t have…