Financial and Operating Lease Accounting by Lessee and Lessor
Lease accounting is an important accounting section as it differs depending on the end-user. A lessee and a lessor report and account for the… Read Article
Financial Accounting
What is Expense? – Definition and Meaning
Expenses can be defined as “Any cost that a company bears in an attempt to maximize its revenues, and thereby its profits.” It is… Read Article
Cash Flow Statement – Definition and Meaning
A statement of cash flows is one of the three types of basic financial statements, along with the balance sheet and income statement. This… Read Article
Balance Sheet – Definition and Meaning
The balance sheet, also known as the statement of financial position, represents a given company and its financial position at a given date (generally… Read Article
Difference between Cash and Accrual Accounting
What are the differences between Cash and Accrual Accounting?Cash and accrual accounting are the two methods of accounting used by businesses to record transactions… Read Article
Branches of Accounting
Different branches of accounting came into existence, keeping in view various forms of accounting information needed by different classes of people. They may be… Read Article
Meaning and Types of Liabilities
Liabilities: Definition
Liability is a legal obligation of an individual or a business entity towards creditors arising out of some transactions. A clearer definition… Read Article
Meaning and Different Types of Assets
What are Assets in Accounting?
An asset is a resource or property having a monetary/economic value possessed by an individual or entity capable of… Read Article
Double Entry System of Bookkeeping
Double Entry Accounting under the double-entry system of bookkeeping is the scientific, self-sufficient, and accurate system of accounting which states that every transaction has a corresponding and… Read Article
What are Debit and Credit
Debit and credit are two sides of the same accounting entry. These are the fundamental “effect” of each financial transaction. For maintaining correct accounting… Read Article
What is Accounting Period?
The accounting period refers to the time period for which accounting books are balanced. The preparation of financial statements is done by business entities… Read Article