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Financial Accounting Concepts
Differences between Lease and Hire Purchase
When purchasing assets for business or private purposes, two popular financing methods are leasing and hire purchase. Although both enable you to utilize an ass
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Cost Accounting
What is the FIFO Method of Inventory Control
The FIFO or First-In, First-Out inventory method is probably one of the most popular used by companies to manage their stocks. It lies on the rationale that the
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Financial Accounting Concepts
What is a Bill of Exchange?
A bill of exchange is a financial instrument or written document that represents an order made by a drawer to another party drawee for the payment of a specific
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Financial Accounting Concepts
Differences Between General Reserves and Capital Reserves
Reserves are essential for strengthening a company’s financial situation. General reserves and capital reserves are two different kinds of reserves. Both
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Cost Accounting
Cost Accounting Quiz Challenge
1. What is the primary objective of cost accounting? a) Maximizing profits b) Reducing costs c) Providing financial reports d) Facilitating decision-making 2. W
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Financial Accounting Concepts
What is a Promissory Note?
A promissory note is a written agreement, often referred to as a “note payable” or “IOU” (I owe you), in which one party (the maker) pro
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Corporate Accounting
Difference Between Shares and Debentures
While both shares and debentures represent ownership in a company, they differ substantially in their characteristics. Shares and debentures are essential compo
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Corporate Accounting
What is the Buyback of Shares? Purpose and Benefits
Within finance and investing, companies employ many strategies and techniques to increase shareholder value and optimize capital structures. One such technique
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Financial Accounting Concepts
Difference between COGS and Cost of sales
The terms COGS and cost of sales are often used interchangeably. However, they represent two different concepts that can have a significant impact on a company&
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Corporate Accounting
What is Capital Asset Pricing Model (CAPM)?
The Capital Asset Pricing Model (CAPM) is a financial model that helps investors understand the expected return on an investment relative to its risk. It was de