Now that we have your foundations in place, we can provide you with information rich data and reports. If you want to increase your profits and cash flow, we need to first set your foundatio... اقرأ المزيد

Analyzing a company’s cash flow is crucial when evaluating its liquidity. A company may have a high current ratio but struggle to meet its short-term obligations if it has negative cash flow... اقرأ المزيد

On the other hand, a current ratio greater than one can also be a sign that the company has too much unsold inventory or cash on hand. The current ratio is a very common financial ratio to m... اقرأ المزيد

For example, in some industries, like technology, companies may maintain lower Current Ratios as their assets are less liquid but still maintain financial health. If a company has $500,000 i... اقرأ المزيد

This is because inventory can be more challenging to convert into cash quickly than other current assets and may be subject to write-downs or obsolescence. For example, a company with a high... اقرأ المزيد

Appoint a trustworthy individual as the custodian who will be responsible for managing the petty cash fund. Since the petty cashier does not have to collect, he can now make the small expens... اقرأ المزيد

But if you find that most of your petty cash is not being used, the fund amount might be too large. You should deposit the surplus petty cash into the company bank account. If you’re p... اقرأ المزيد

While petty cash records capture transactions, they may lack the depth of documentation required for a comprehensive financial overview. The meticulous recording of numerous small transactio... اقرأ المزيد

Commercial transactions are increasingly cashless—even at small retailers and restaurants, where purchases traditionally have relied heavily on coins. The Internal Revenue Service (IRS) reco... اقرأ المزيد

Under the Tax Cuts and Jobs Act, Section 1031 now applies only to exchanges of real property and not to exchanges of personal or intangible property. An exchange of real property held primar... اقرأ المزيد