A company can raise or lower its earnings by changing the way it calculates the…

Merchandise Inventory Merchandise inventories are the goods that are on hand for the production process…

The Expense Authorization system is a commonly used method to keep track of and control…

Sales made by businesses can be broken down into the following main categories: •         Cash sales…

The principal method for maintaining internal control of cash is using a checking account. However,…

Bank Reconciliation Typically, a business will use a bank checking account to help control the…

Shareholders’ equity represents the net assets owned by the owners (the shareholders). Net assets are…

A liability is an obligation to pay an asset in the future. It is also…

Assets are economic resources that provide future benefits to the business. Examples include cash, accounts…

The goal of accounting is to ensure information provided to decision makers is useful. To…