Bookkeeping / 6 posts found

McKinsey Shrinks New Partner Class by Roughly 35%

This content is for general information purposes only, and should not be used as a substitute for consultation with professional advisors. Number of partners  The informality of decision making in a what is partnership in accounting partnership tends to work well with a small number of partners. Having a large number of partners, particularly if all are involved in operating the business, can make decisions much more difficult. A SME is any entity that publishes general purpose financial statements for public use but does not have public accountability. In addition, the entity, even if it is a partnership, cannot act […]

What is common carrier?

One other place a consumer might come across the term common carrier is in the terms of supplemental benefits provided by a credit card issuer. Common carriers provide essential public services and thus can face more state and interstate regulations and more government scrutiny. However, this is more of an issue regulating telephone companies and ministerial authority than a facet of personal injury law. They have a duty of reasonable care when transporting freight. A private carrier’s duty depends on what they are transporting. All passengers are similarly situated when dealing with the common carrier. A common carrier vs private […]

Sample of a Company’s Bank Reconciliation with Amounts

When you do a bank reconciliation, you first find the bank transactions that are responsible for your books and your bank account being out of sync. When you “reconcile” your bank statement or bank records, you compare it with your bookkeeping records for the same period, and pinpoint every discrepancy. Then, you make a record of those discrepancies, so you or your accountant can be certain there’s no money that has gone “missing” from your business. When a company maintains more than one checking account, it must reconcile each account separately with the balance on the bank statement for that […]

Manufacturing Overhead: Definition, Formula and Examples

On the other hand, if your overhead rate is greater, your manufacturing process is defective. The expense to the company of employees who aren’t directly involved in the product’s creation is known as indirect labor. Security guards, janitors, plant managers, machine repairmen, supervisors, and quality inspectors, for example, are all examples of indirect labor expenditures. For instance, even if your company decides to reduce production for this quarter, you must continue to pay the same amount for renting office or manufacturing space. The cost to maintain the claw machines is higher, but if these bring in the most profit, it […]

Compensation and empoyee benefits

This podcast shares insights on the different accounting models available for termination benefits in a workforce restructuring. The information provided on this website does not constitute insurance advice. All content and materials are for general informational purposes only. Complete Insureon’s online application and contact one of our licensed insurance professionals to obtain advice for your specific business insurance needs. The expense constant charge is added to every policy without regard to premium size. Visit our Glossary – Terms Page for a much more detailed description of this additional premium charge. The issue I have is that the annual premium was […]

What is manufacturing overhead and what does it include?

She received a bachelor’s degree in business administration from the University of South Florida. Explore the possibilities of deploying;st=30;l=e accounting software to unlock your business potential. See the example question below to find out how we can find base totals. High payroll costs will be challenged and evidence (such as pay slips, etc.) must be provided to justify that the rate is on a cost recovery basis only. Simply, totaling the Overhead Costs either for the factory or for various divisions for your business is not sufficient. It is important to assign these Overhead Costs to various products, jobs, […]