What is the free cash flow ratio?

This $45,000 could be put back into the business to purchase more inventory, or it could be used to issue Tim and his new investors a dividend at the end of the year. They want to see that the business dog definition operations are healthy and efficient enough to generate excess funds. This free cash […]

Beginners’ Guide to Financial Statement

Unlike the other two financial statements, a balance sheet shows these figures for a particular moment in time, typically the end of a quarter or fiscal year. Finally, without properly prepared financial statements, filing your taxes can be a nightmare. Not only do financial statements tell you how much income to report, but they also […]

The Ultimate Cash Flow Guide EBITDA, CF, FCF, FCFE, FCFF

The percent is the result of dividing each amount by the amount of the company’s total assets. For instance, a company’s internal income statement will contain more detail and often displays a percent next to each dollar amount. The percent is the result of dividing each amount by the amount of the company’s net sales. […]

– Turnover Ratios and How to Compute Them Institute of Business & Finance

Working capital turnover measures how effective a business is at generating sales for every dollar of working capital put to use. Working capital represents the difference how to write invoice emails that get paid fast and 4 templates between a company’s current assets and current liabilities. Turnover is an accounting concept that calculates how quickly […]

Salary Payable Complete Guide on Salary Payable in detail

Let’s break down how to record a payroll journal entry with these ideas. If you’re familiar with that process, then introducing a payroll journal entry into your routine should be like taking the training wheels off of a bike. To illustrate wages payable we will use the following hypothetical dates and other information. Jane is […]

IRS Tax Form 941: Instructions & Information including Mailing Info

You need to complete it only if you make a payment with the IRS forms 941. If you are looking for a printable form 941 in PDF format, you found the right service. With PDFLiner you can easily fill out the form and click “Print” in the “Done” menu if you need a paper version. […]

Equity definition

You or your accountant will take all these puzzle pieces to track your company’s value. You must also include any share capital (parts of your business owned by shareholders) and retained earnings (your take-home cash) in the equation. Although the balance sheet always balances out, the accounting equation can’t tell investors how well a company […]

How Much Profits can you Make with a Daycare?

They bring no peculiar or unique personality that could otherwise catapult creativity in the minds of our children. One of the reasons why daycare centers are so attractive is that they have a rather larger profit margin on their revenue than some businesses. To best secure profitability in daycare businesses, you should aim for a […]

Outsourced controller rates

For businesses that are growing quickly or who need CFO-level guidance at a part-time capacity, an outsourced CFO can make the most sense. You get the service and guidance you need without the full weight of an expensive executive. How much your outsourced CFO costs depends on a multitude of factors and should be tailored […]

Cost of Goods Sold COGS: Definition and How to Calculate It

While the basic formula is simple, there are a number of variables to consider as well as choices about accounting methods to use. It’s not important for many service providers that do not make or sell products. For instance, attorneys, consultants, designers, programmers and similar firms don’t use COGS. Calculating Cogs can be complex for any […]