These kinds of assets are known as 'fixed assets'. Current assets represent the stock of business assets held by the company, the debtors and cash and bank balances. There are intangible assets like goodwill also.
Liabilities represent the amounts payable by the company to different constituents of the business like banks, creditors or other agencies. Liabilities may be classified as 'long term liabilities' representing the loans obtained by the company from banks or other financial institutions for running the business and 'current liabilities' representing the amounts payable to
The Revenues are the income being earned by any business. Revenues include sales and other earnings from investments of the business. Rental income and interests from investments are also considered as revenues. The revenues are the cash inflows for the business and determine the profits of the company.
Expenses are the cash outflows from the business in connection with the running of the business. Expenses may be of capital in nature representing purchase of additional assets or machinery. Revenue expenses are those incurred on a day to day basis for running of the business. The revenue expenses are charged against the income of the business and the profits determined.
In the double entry book keeping principle every accounting entry should have a corresponding debit or credit entry reflected in another account. These entries are known as contra entries. Contra entries are passed through general journal and mostly represent non-cash transaction entries like accounting for depreciation.
Writing off a bad debt
In the course of business sales are done on a credit basis and the parties to whom the credit sales are made sometimes may not be able to make payment for the goods or services bought or availed due to their financial difficulties or bankruptcy. In those cases the amount due to the business is termed as a 'bad debt'. Usually these bad debts are charged off against revenue of the company as expense. This is known as 'writing off a bad debt'.
Debtors also known as Accounts Receivables
In the process of doing business many a times sales are being made to different parties on credit terms implying that the party instead of making the payment on cash basis will make the payment after a certain agreed period of time. These parties to whom sales are made on credit terms are known as 'Debtors' also known as 'Accounts Receivable'
Creditors also known as Accounts Payable
Just as the sales are being made on credit terms the business may procure the goods and services on credit terms with the payment to be made within definite periods mutually agreed between the suppliers and the business. These parties who supply the goods or services are known as 'Creditors' also known as 'Accounts Payable'.
Sales Returns and Allowances Journal
General Ledger - Capital Account
General Ledger -
Capital represents the money or monetary value of assets contributed by the owners, partners or shareholders for the starting and running of a business. Usually capital denotes the cash contribution by the owner towards the setting up of the business.
Drawings are the money withdrawn by the owner or the partners from the business for their personal purposes…
However after gaining industry dominance, Nancy Koehn - Harvard’s James E. Robison Professor of Business Administration – points out at the same executive for leading the company to decline due to a failure of leadership (Staff 14). Nancy Rottering, a former finance executive at GM, describes how GMs executives isolated themselves from the rest of the company (“The Rise and Fall of General Motors” 4).
Changes and innovations in technology that have been observed over the time have proved as time saving and effective for organizations. In this paper we shall examine the impacts of modernized system on accounting structure of modern organizations. Introduction: Accounting is one of the important departments of every business that deals with monetary functions.
Understanding the different levels of management is also vital in the goal achieving process of an institution. Moreover, comprehending the benefits a society accrues from management helps in understanding the topic further and thus discussed in the paper.
From the discovery of the telegraph, which played an essential role in the French revolution, to the firefighters and paramedics who came in on their day after the witnessing the World Trade Center Towers attacked on the television. Today, the application if the Internet has become accepted and entrenched collective purpose tools amid the regular people.
The paper will seek to draw from the strategy that those organizations have devised to address the issue of compensation and benefits. The paper will show theories and strategies that should be contemplated in addressing the situation. The paper will give recommendations to the GM management on how to address and resolve the situation.
For the scope of this paper, we will focus on the hazards resulting from construction works as one of the human activities. Many accidents and other dangers are due to irresponsiveness by people on construction ground. In order to minimize the level of damages in construction sites, there are structures which the stakeholders must abide with.
General Electric is one of the most prominent companies that has been the forefront runner in their market for many years. This prodigious company was initiated by a brilliant man known as Thomas Edison in
The company’s initial business offerings included: lighting, transportation, industrial products, power transmission and medical equipment. It included a number of innovations including the incandescent lamp, the dynamo which converts mechanical energy
Undoubtedly, such negative effects hampered the share market of GM to a substantial extent being many of its large brands, including Chevrolet as well as Cadillac, and many of its prime subsidiaries sold out. Subsequent to its bankruptcy position, GM and its three associate
2 pages (500 words)Research Paper
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