Organizational Structure of a Corporation
The article outlines the organizational structure of a corporation, highlighting the roles of shareholders, the board of directors, … Read More
Secondary Market Characteristics
The article discusses key characteristics of secondary markets, emphasizing the importance of accurate pricing and liquidity. It also … Read More
What is Fraud Triangle?
The article introduces the concept of the fraud triangle, which consists of perceived pressure, rationalization, and perceived opportunity—three … Read More
Differences between FASB and IFRS
The article discusses the key differences between FASB and IFRS, mainly highlighting how they treat asset and liability … Read More
How Is Inventory Reported on a Balance Sheet?
The article explains how inventory reported on a balance sheet, including its classification as a current asset and … Read More
How Inventory Is Valued?
The article discusses inventory valuation under the conservatism principle, emphasizing the lower-of-cost-or-market (LCM) rule, which requires businesses to … Read More
Unadjusted Trial Balance
The article covers the concept and purpose of an unadjusted trial balance, explaining its role in verifying debit … Read More
Post-Closing Trial Balance
The article explains the purpose and timing of a post-closing trial balance, which is prepared after closing entries … Read More
Closing Entries
The article discusses the purpose and process of closing entries in accounting, emphasizing their role in resetting temporary … Read More
Adjusted Trial Balance
The article discusses the purpose and structure of an adjusted trial balance and explains how it serves as … Read More
Degree of Operating Leverage
The article explains the concept of operating leverage, distinguishing between high and low operating leverage based on a … Read More
What is Margin of Safety?
The margin of safety is the number of units which are expected to be sold above break-even. The … Read More
12 Beyond Budgeting Principles Explained
The article discusses the Beyond Budgeting philosophy, which advocates replacing traditional budgeting with a more flexible, decentralized, and … Read More
What is Activity-Based Budgeting (ABB)?
The article introduces Activity-Based Budgeting (ABB), a budgeting method that focuses on business activities and resource usage rather … Read More
What is Kaizen budgeting?
The article explores Kaizen budgeting, a budgeting approach rooted in the philosophy of continuous improvement, where cost reductions … Read More