Capital Expenditure
What is Capital Expenditure?Capital expenditure or CapEx is the expenditure incurred by the Company to acquire or upgrade or maintain tangible assets like plants… Read Article
ROI Analysis – What It Is And Why It’s Important?
The analysts use return on Investment or ROI Analysis to assess the profitability of an investment in detail. Analysts also use it for comparing… Read Article
Earnings vs Revenue – Meaning, Importance, and Differences
Often the terms earnings and revenue are used interchangeably, but they are very different from each other. To put it simply, revenue is the… Read Article
Residual Income Formula – All You Need To Know
What is Residual Income?Residual Income is the money remaining after paying the necessary expenses and costs. In technical terms, it is the income that… Read Article
FTE- Full-Time Equivalent
FTE: Meaning FTE is Full-Time Equivalent; it represents the total hours worked by a full-time employee on a regular basis. The organization uses the concept… Read Article
Basic vs Diluted EPS – All You Need To Know
Both Basic EPS and Diluted EPS are important profitability measures that help in the analysis of the companies. To learn about the difference between… Read Article
Solvency
What is Solvency?Solvency reflects the firm’s position and ability to meet long-term and short-term obligations. It is known as the long-term stability from the… Read Article
NPV vs IRR vs PB vs PI vs ARR
Every firm has to make several investment decisions in its life. Investment decisions are the firm’s decision to invest its funds, most efficiently, into… Read Article
Remittance Advice – Meaning, Types, Benefits And More
Remittance Advice (RA) is a document that a buyer sends to a seller conveying that an invoice is paid. Although not mandatory, the buyer… Read Article
Adjusting Entries – Meaning, Types, Importance And More
Organizations usually make Adjusting Entries on the last day of an accounting period to ensure that the accounts are in line with the accrual… Read Article
Contingent Liability – Meaning, Importance, Types And More
Contingent Liability: MeaningContingent Liability is the best guesstimate by the company of a situation that might turn into a liability. Whether or not a… Read Article