Is Salary Payable The Liability? Salary payable is a liability that reflects the company’s commitment to its employees and is a tangible representation of the value they bring to the organization. It is an entry in business accounting journals that describes the amount of money the company owes to its employees in the form of … Read more
Is Interest Payable A Current Liability? Interest Payable Interest payable is a current liability that must be paid within one year. It is the amount of interest on debt that a company owes to its lenders on the balance sheet date and may include billed and accrued interest. If interest payable is greater than the … Read more
How To Review Account Payable Balance Accounts Payable Accounts payable is a current liability on the balance sheet that reflects the amount of money owed to vendors and suppliers for goods and services received. Changes in the AP balance from the previous period are reflected in the cash flow statement. Companies can use the AP … Read more
Is Economics Degree Harder Than Accounting? Have you ever wondered which degree is harder to earn, an economics or accounting degree? The debate has been raging for years between students and academics alike. Is there really a difference in the difficulty of each degree program? In this article, we will explore the ins and outs … Read more
Do Accountants Make Good Money? Do you ever find yourself wondering if accountants make good money? If so, you’re not alone. Many people are curious about the potential financial rewards of a career in accounting – after all, it’s one of the most popular job choices for business and finance majors. In this article, we’ll … Read more
Depreciation Method Is Most Frequently Used In Businesses What Is Depreciation? Depreciation is the decrease in monetary value of an asset over time. It is caused by several factors, such as use, wear and tear, obsolescence, and unfavorable market conditions. Examples of assets that commonly depreciate include machinery, equipment, and currency. Depreciation is the opposite … Read more
Computer Software In Balance Sheet Computer software is an important tool in the accounting process, allowing for the easy recording and reporting of financial transactions. It makes accounting calculations easier, and aids in understanding and analyzing data. By replacing physical data storage, it can save office space and rental costs. Additionally, it facilitates the retrieval … Read more
Is The Common Stock A Debit Or Credit? Common stock is a type of equity security that represents ownership in a company and entitles the holder to a portion of the company’s profits and assets. According to the background information, owning common stocks may make the holder eligible for dividends and a share of the … Read more
Advance Rent On Financial Statement Advance Rent Advance rent is a payment made to a landlord for future use of a property that is typically required by the lease agreement. Generally, it is paid on a pre-payment basis and does not include the rent for the immediate following month. Most leases require tenants to pay … Read more
Account Payable Increase Or Decrease Accounts payable is an important component of a company’s financial position, as it reflects the obligations that must be paid in the short term. Payables include invoices from suppliers, legal fees, and contractor payments and are listed as a current liability on the balance sheet. Accounts payable will increase when … Read more