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Cost Accounting
What is Economic Batch Quantity? With Example
Economic batch quantity (EBQ) is a crucial concept that determines the most cost-effective quantity of units to produce in a single batch or production run. By
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Financial Accounting Concepts
Difference Between Net Profit and Gross Profit
Profit is one of the most significant measures of a company’s financial well-being, but profits differ. Two critical metrics—gross profit and net profit—s
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Financial Accounting Concepts
What is the Going Concern Concept?
The going concern concept is a principle that assumes a business entity will continue operating for the foreseeable future, typically in the next 12 months. Thi
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Corporate Accounting
Liquidation of Companies | Meaning and Procedure
The liquidation of companies refers to the process of winding down operations and selling its assets to pay off its debts to external parties. It is essentially
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Corporate Accounting
What are calls-in-arrear and calls-in-advance?
Calls-in-arrear and calls-in-advance are related to the share capital of a company and how shareholders contribute to it. Here’s a breakdown: Calls-in-arr
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Money and Investment
What is the Difference Between Trading and Investing
In growing wealth in the financial market, two popular strategies are trading and investing. Though both require buying and selling of assets such as stock, bon
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Financial Accounting Concepts
Difference Between Fixed and Floating Rate of Interest
Interest rates form a vital aspect of the financial landscape. Whether you are considering taking out a loan for a major purchase or investing in a bond, unders
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Financial Accounting Concepts
Benefits of Computerised Accounting Systems
In today’s fast-paced, technology-driven world, businesses need to keep up with the latest advancements to remain competitive. One area where embracing te
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Financial Accounting Concepts
What is a Consolidated Financial Statement?
A consolidated financial statement is a report of financial position and performance of a parent company and its subsidiaries as a single entity. It is an essen
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Financial Accounting Concepts
What does mean reporting period in accounting
The reporting period, also known as the accounting period, refers to the specific timeframe for which a company’s financial performance and position are m