What is trading on equity?

Posted Posted in Bookkeeping

Now the trader has $2,500 in unrealized gains in that trade, which means that the OTE for that holding is also up $2,500 and the total equity in the account is up to $12,500. If they were to liquidate this position then the gains are said to have been realized; the account balance would have […]

How to Find the Best Tax Preparer Near You

Posted Posted in Bookkeeping

According to the IRS, about 58% of the more than 138 million tax returns e-filed through November 22, 2019 (for the 2018 tax year), were prepared by a pro. CPAs are licensed by a state accountancy board (exact requirements vary by state), and generally must complete studies in accounting and pass required examinations. Not only […]

Days in Inventory DII Defined: How to Calculate

Posted Posted in Bookkeeping

The sales ratio is a number that represents how much inventory is sold in comparison to how much is purchased. To calculate, simply divide your ending inventory by your beginning inventory. It’s also important to consider seasonal fluctuations and product demand, and to use DSI figures alongside other calculations when doing important business analysis. Yes, […]

How do intangible assets show on a balance sheet?

Posted Posted in Bookkeeping

As you already know, your Balance Sheet reports your entity’s assets, liabilities, and shareholder’s equity. Accordingly, you need to report only those items as intangible assets that satisfy both the intangible assets definition and its recognition criteria. However, say you incur an expense on this project post the Business Combination. Then, as per Intangible Assets […]