Financial Accounting

GAAP

What is GAAP? Generally Accepted Accounting Principles (US) are the commonly followed and accepted set of rules, procedures, and guidelines adopted by SEC (Securities and Exchange Commission) for reporting …

Bad Debts

Bad Debts Meaning A bad debt is a receivable that is now irrecoverable from that person who was supposed to pay the same. The reason for nonpayment by the …

Trial Balance

Trial Balance Meaning The trial balance is a bookkeeping systematized worksheet containing the closing balances of all the accounts. There are two sides of it- the left-hand side (Debit) …

Accounting Principles

What are Accounting Principles? Accounting Principles are the rules and benchmarks in the accounting field, a company should follow while reporting the financial statements. The common set of accounting standards …

Double Entry Accounting

What is Double Entry Accounting? Double Entry Accounting is the scientific, self-sufficient and accurate system of accounting which states that every transaction has a corresponding and an opposite effect of at …

C Corporation

C Corporation – Definition C Corporation is the most widely recognized, distinct legal entity under United States Federal Income Tax Law (USA), wherein a corporation is taxed separately from its …

Partnership

Due to the limitations of the sole proprietorship, many decide to enter into a partnership. Not everyone has everything. Some may have a capital or some may have skills but …