by How To Set Up | Oct 18, 2025 | Uncategorized
A model explaining factors that lead to fraud: pressure, opportunity, and rationalization. Widely used in auditing and forensic accounting. Helps organizations design better controls.
by How To Set Up | Oct 17, 2025 | Uncategorized
Goods purchased for resale in retail or merchandising businesses. It is a current asset until sold, after which it moves to Cost of Goods Sold. Proper tracking helps maintain accurate gross profit reporting.
by How To Set Up | Oct 17, 2025 | Uncategorized
The ability to meet long-term obligations. Solvency is assessed by debt-to-equity and interest coverage ratios. A solvent company is more stable and less risky to creditors.
by How To Set Up | Oct 15, 2025 | Uncategorized
Cash discounts taken for early payment of supplier invoices. Reduces the overall cost of purchases. An incentive to manage cash efficiently.
by How To Set Up | Oct 12, 2025 | Uncategorized
Funds received from customers as a guarantee of future performance. Treated as a liability until the service or product is delivered. Common in construction or real estate industries.
