The cost of raw materials is the first cost incurred in this process because materials are required before any labor costs can be incurred. Production costs include raw materials, labor used in making goods, and allocated overhead. Work in process (WIP) inventory refers to the total cost of unfinished…

Set reports to be automatically created and emailed to board or committee members on any schedule you’d like. Nonprofits rely on accurate, timely financial information throughout the year. Here are a few items to watch closely each month on your nonprofit financial statements. Xero vs Sage (2023 Comparison) –…

It also cannot come in the form of stocks, bonds, or other securities. The exclusion also doesn’t apply to vacations, meals, lodging, and tickets to theater or sporting events. Fringe benefits are additions to compensation that companies give their employees. Some fringe benefits are given universally to all employees of…

She would then make an adjusting entry to move all of the plaster expenses she already had recorded in the “Lab Supplies” expenses account into the new “Plaster” expenses account. Instead of recording Law Firm Bookkeeping 101 it in the “Lab Supplies” expenses account, Doris might decide to create…

This is why you need to make these adjustments to make them more accurate. For the company’s December income statement to accurately report the company’s profitability, it must include all of the company’s December expenses—not just the expenses that were paid. Similarly, for the company’s balance sheet on December…

Sources of data and preparation of financial statements in manufacturing organizations are studied. Primary emphasis is on costs for control, decision processes internal to the firm (including standards of performance), relevant costs for decisions, budgets, and capital investment considerations. (Students are eligible for this course after successfully completing 45…

A liability (LIAB) occurs when an individual or business owes money to another person or organization. Bank loans and credit card debts are common examples of liabilities. Depreciation (DEPR) applies to a class of assets known as fixed assets. Fixed assets are long-term owned resources of economic value that…