Bookkeeping

Tax expenditures are often referred to as "spending in disguise," because lawmakers use the tax code to direct subsidies to specific constituencies and activities. Policymakers also use tax expenditures to influence consumer and business behavior. The mortgage-interest deduction, for example, encourages taxpayers to buy homes instead of renting. Similarly, depreciation provisions for businesses encourage new purchases of equipment. In addition, because tax expenditures subsidize "favored" activities, they can distort economic […]

Accurately reconciling your accounts will take some time; however, the accuracy of your bookkeeping and the ability to quickly detect errors — or worse, fraud — is worth the extra effort. If you find yourself spending too much time on reconciliation or needing to undo reconciliation often, consider engaging an external bookkeeper or accountant to help you with the process. The main difference is that you’ll be reconciling credit card […]

It means customer will receive 4% cash discount if settle within 10 days after invoice date. Report this account as a separate line item on your income statement. The net method assumes that every customer will pay in time to receive a sales discount. With dynamic discounting, the buyers initiate an early payment offer on an invoice-by-invoice basis, where the discount varies. The buyer may offer a 2% discount to […]