Tuesday, May 26, 2020
Business Accounting Essay - 1615 Words
Introduction Financial statements What carries out the accounting and financial forecasting of any type of company is financial statement. As for financial statement, it is a financial report or record compiled usually on a quarterly and annual basis which quantitatively provides the indication of an individualââ¬â¢s, an organizationââ¬â¢s, or businessââ¬â¢s financial status. There are, according to belief of most experts, generally three financial statements such as: an income statement (Pro Forma Profit and Loss), a balance sheet and a cash flow statement. Although these three financial statements differ by different functions each of them performs, they closely depend on one another. For instance, an income statement hinges upon a balanceâ⬠¦show more contentâ⬠¦It always puts Assets on the left side or on the top, with capital and liabilities on the right side or the bottom. Balance sheet must always comply with the formula below: Assets = Liabilities + Capital Income statement Income statement is also called Profit and Loss. While it has some influence on Assets, Liabilities, and Capital, it only includes Sales, Costs, Expenses, and Profit. Income statement shows the information on the flow of transactions over some specified period of time like a month, a quarter, a year, or even several years. In other words, income statement provides information regarding the revenue earned by the company within a specified period of time. To be more forward, income statement demonstrates inflows and outflows of assets, where inflows are revenues and outflows are expenses. An excess of inflows over outflows is net income, whereas an excess of outflows over inflows is named as net loss. 3 Sales ââ¬â Cost of Sales (or COGS, Cost of Goods Sold, or Direct Costs) = Gross Margin Gross margin ââ¬â Expenses = Profits 3 2 http://www.wisegeek.com/what-are-financial-statements.htm 3 http://planasyougo.com/the-three-main-statements 4http://www.fool.com/investing/beginning/how-to-value-stocks-how-to-read-a-balance-sheet.aspx Cash Flow What isShow MoreRelatedAccounting Is The Language Of Business1286 Words à |à 6 PagesAccounting is a major that teaches the language of business, it opens doors to the business world all over the globe, the possibilities with a accounting major is endless in the business field. Whether you want to run your own business or become a certified public accountant majoring in accounting gives you the establishment. A major plus in having a career in business is the flexibility it offers. Many businessmen can make their own hours and handle their business at the comfort of their own homeRead MoreAccounting Software For A Business Essay1257 Words à |à 6 PagesIndividual Assignment Name: Altaf Gohar Roll no: EAB2389 Accounting Software/Packages used in Australia Accountingà is referred as an art of collecting, classifying, and manipulating financial data for organizations and individuals.à Ità is also used to determine financial stability or financial health of organizations. Accounting is the language of business and figures and is widely used as a means of communication for financial world, without it businesses cannot survive. It is important becauseRead MoreBusiness Environment : The World Of Accounting1227 Words à |à 5 Pages=The Business Environment= Before we can dive into the world of accounting, we first need to understand the world of business. A business is a formal economic entity that essentially provides goods and services for money. Businesses can range from tiny mom and pop businesses to multinational corporations which operate in multiple countries. Of critical importance to these businesses is the ability to make efficient and effective resource allocation decisions. Essentially, the modern business environmentRead MoreBusiness Analysis : Management Accounting1289 Words à |à 6 Pages(2013) defined that stakeholder is a general term to indicate all those who might have a legitimate interest in receiving financial information about a business because they have a ââ¬Ëstakeââ¬â¢ in it. All stakeholders must need accounting information to help them making better decision. Most of the businesses have provided different sort of accounting information like balance sheet and income statement. However, no all the stake holders need the same information and the purpose is different. ThereforeRead MoreBusiness Is Tax And Accounting Services1134 Words à |à 5 Pages1.0. Executive Summary A family accounting firm based in the US. SamPet Financial Services was founded by Mrs. Petrolina Ofori-Mensah February 2015. Our main business is tax and accounting services. SamPet Financial Services serves the accounting and financial needs of businesses and individuals to enable them to realize their financial goals. SamPet is rich in the latest software and technologies and financial advice that will support our clients in making their financial choices. Our target marketRead MoreEthics Of Business And Accounting1361 Words à |à 6 PagesEthics in Business and Accounting Ethics are not simply something, which is embodied an individual s conviction or considerations, yet that of what is best for a conglomeration or organization. Moral choices good to go are took care of ordinary, and generally conglomerations have a made set of principles to encourage manage administration to make the right choice. Moral choices are not dependably simple and may require some supposed as to the responses or effect of a choice. There are establishedRead MoreBusiness Accounting1117 Words à |à 5 PagesMay 14, 2012 [ EXECUTIVE DIPLOMA] EXECUTIVE DIPLOMA IN BUSINESS MANAGEMENT Awarded by the Asia e University Assignment [Business Accounting] Submission due date : 23rd June 2012 by or before 5.30pm 1 May 14, 2012 [ EXECUTIVE DIPLOMA] Assignment Question Scenario You have been recruited to help your uncleââ¬â¢s family to set up and run a supermarket called ââ¬ËBeliMurah Martââ¬â¢ in Petaling Jaya. In the past, they had set up and managed smaller scale businesses, butRead MoreBusiness Accounting1359 Words à |à 6 PagesUnit 5 Business Accounting P5 Introduction In this assignment I will be using the profit and loss accounts and balance sheet for SIGNature s business to work out the Profitability, Liquidity and Efficiency Ratios. Profitability Gross profit Percentage sales Gross Profit Sales Turnover Ãâ"100 244200 444000 Ãâ"100=53% Net Profit Percentage Net ProfitSales turnoverÃâ"100 73960444000Ãâ"100=16.66% Return on Capital Employed (ROCE) Net Profit before interest and taxCapital EmployedÃâ"100 73960149160Ãâ"100=49Read MoreRelationship Between Business And Finance And Accounting779 Words à |à 4 PagesIn the world-at-large, Finance and Accounting are often erroneously linked together. As if to say, they are one-and-the-same ââ¬â a sort of a misnomer, you can say. In conversations concerning both disciplines, the colloquial marriage of both business sectors is as common place as light is to the day. It is true, that to successfully manage a business, both principles must be applied in equilibrium to replicate success in any organized venture; however, their differences are highlighted in trainingRead MoreAccounting For Business Coursework : Accounting3707 Words à |à 15 PagesAccounting for Business Coursework: Introduction Accounting is the comprehensive way keeping track of all financial transactions pertaining in a firm. It is considered to being the language of most firms nowadays where they are found to communicate their performances to the externals. In addition to evaluating and examining their employees performances using the information conducted by the different financial statements and reports. Therefore, learning the language of accounting is bound to
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment