What is a Chart of Accounts | Meaning and Purpose
A chart of accounts is a systematic listing of all accounts employed to classify and record financial transactions in an organization’s ledger. It is a financial filing cabinet where every drawer is a category of account—assets, liabilities, equity, revenue, and expenses. This organised structure enables companies to keep orderly financial records, making analysis, reporting, and […]
The Development of Bookkeeping and Accounting
In the realm of business, the principles of bookkeeping and accounting have played a pivotal role in shaping the way we manage and analyse financial data. From the ancient ledgers of Mesopotamia to the modern digital systems of today, the evolution of bookkeeping and accounting has been nothing short of remarkable. In this blog post, […]
History of accounting standard setting in Australia
Accounting standard setting Accounting standards in Australia were initially developed by professional accounting bodies and were enforceable under their codes of ethics. From 1966, the professional bodies jointly operated the Australian Accounting Research Foundation (AARF), which ultimately encompassed both the Accounting Standards Board (AcSB) and the Public Sector Accounting Standards Board (PSASB). These Boards worked […]
What are capital structure ratios in accounting?
Capital structure ratios are financial assess company’s long-term financial stability and the proportion of debt and equity in its financing These ratios reveal important information regarding a company’s long-term solvency, financial leverage, and general financial risk position. The most prevalent capital structure ratios are the debt ratio (total debt over total assets), debt-to-equity ratio (total […]
How to Delete a bill in QuickBooks Online?
For a new user, it may be difficult to find how to delete a bill in Quickbooks Online. This situation may arise as a result of wrong particulars in the entered invoice. Or once the correct details are entered but due to manually importing the data there may be duplicacy of invoices. Steps to Delete […]
Financial Analysis of Sainsbury’s
Sainsbury’s is a British grocery store giant, the second biggest chain in the UK. Founded in 1869, it boasts a protracted record of providing groceries and family necessities. Sainsbury’s offers various keep codecs, from big supermarkets to comfort stores. They are recognised for his or her personal-emblem merchandise alongside popular labels. Beyond groceries, Sainsbury’s owns […]
Incomplete records system is unscientific and Inaccurate
An incomplete records system is unscientific, incomplete, inaccurate and unsystematic. Explain An incomplete records system is unscientific, incomplete, inaccurate, and unsystematic because it does not follow the accepted principles and standards of accounting. This can lead to a number of problems, including: Unscientific: An incomplete records system does not use the scientific principles of data collection, […]
Accounting for not-for-profit organisations
A not-for-profit organisation is a business or entity established by individuals to further an end, not-for-profit and charitable. Not-for-profit organisations have one of two primary purposes: to advance the social, economic, or environmental well-being of the people or to bring into existence or to carry out activities that, although benefiting some other end, get greater […]
Partnership Accounting: Preparing Appropriation Account
What is a Profit and Loss Appropriation Account? In this post, we will talk about appropriation accounts in accounting for partnerships. The appropriation account is another account that is prepared by a partnership firm. In contrast to a sole proprietorship, the earnings of a partnership are split proportionally among the partners. The profit must be […]
Accounts for manufacturing businesses
What are manufacturing businesses? A manufacturing business is that which is involved in the production of manufacture of goods. Typical examples of manufacturing businesses are car manufacturers, television manufacturers, and mobile phone manufacturers. The accounting for manufacturing concerns is a little bit different from trading concerns. A separate account, known as a manufacturing account, is […]