by How To Set Up | Oct 2, 2025 | Uncategorized
Non-physical assets like patents, trademarks, copyrights, and goodwill. They provide future economic benefits but lack physical substance. They are amortized rather than depreciated.
by How To Set Up | Oct 1, 2025 | Uncategorized
The use of borrowed funds to increase potential returns. While leverage can magnify profits, it also increases risk. Commonly assessed through debt ratios.
by How To Set Up | Oct 1, 2025 | Uncategorized
A ratio that shows how many times a company sells and replaces its inventory during a period. High turnover indicates efficiency, while low turnover may signal overstocking. Critical in retail and merchandising businesses.
by How To Set Up | Sep 30, 2025 | Uncategorized
Financial reports of a parent company and its subsidiaries presented as one entity. Eliminates intercompany transactions to avoid double-counting. Required when control exists over subsidiaries.
by How To Set Up | Sep 30, 2025 | Uncategorized
Indirect costs that cannot be directly traced to products or services, such as utilities or administrative salaries. Overhead is allocated to ensure accurate costing. Helps in determining product profitability.
