What is the journal entry for advance paid?
When a company receives money in advance of earning it, the accounting entry is a debit to the asset Cash for the amount received and a credit to the liab...
Category: Updates
When closing the income summary account when there is a net loss?
If the Income Summary has a debit balance, the amount is the company’s net loss. The Income Summary will be closed with a credit for that amount and a deb...
What is less accumulated depreciation?
What is Accumulated Depreciation? The original cost of the asset is known as its gross cost, while the original cost of the asset less the amount of accum...
How does additive increase multiplicative decrease AIMD in TCP congestion control works?
Additive increase/multiplicative decrease AIMD combines linear growth of the congestion window with an exponential reduction when a congestion takes place...
Why is it that the revenue and cost figures shown on a standard income statement?
Because recognition and matching principles in financial accounting call for revenues, and the costs associated withproducing those revenues, to be booked...
What is accrual accounting and why is it the preferred method for most Organisations?
Accrual accounting practices more accurately reflect the revenues and expenses during a given time period, ultimately enabling companies to achieve more a...
How do currency traders make money?
In the foreign exchange market, traders and speculators buy and sell various currencies based on whether they think the currency will appreciate or lose v...
What is the percentage impact on net operating income of a 10% increase in sales?
A 10% increase in sales will result in a 30% increase in operating income. A 20% increase in sales will result in a 60% increase in operating income. Cons...
What do you know about the FASB and IASB convergence projects?
Background. The objective of this project is to eliminate a variety of differences between International Financial Reporting Standards and US GAAP. The pr...
What do you do when your dad has a stroke?
If you suspect that your parent has experienced a stroke or TIA, you should take them to the nearest A&E department or contact 999, especially if the ...
