Category: Bookkeeping

  • Difference Between a Favorable & Unfavorable Variance

    Unfavorable variance is a difference between planned and actual financial results that is not in favor of the business. For example, if a business expected to pay around $75,000 for equipment maintenance, but was only able to contract a price of $100,000, they’ll have an unfavorable variance of $25,000. Variance is a term that is…

  • Can I deduct property real estate taxes?

    If you deducted an incorrect amount of depreciation for property in any year, you may be able to make a correction by filing Form 1040-X, Amended U.S. Individual Income Tax Return. If you aren’t allowed to make the correction on an amended return, you may be able to change your accounting method to claim the…

  • What is a multiple-step income statement?

    After almost a decade of experience in public accounting, he created MyAccountingCourse.com to help people learn accounting & finance, pass the CPA exam, and start their career. Lastly, you can see the non-operating and other section being subtracted to compute the net income. Akounto is here to take up all your worries for record-keeping, preparation,…

  • How to Calculate Bond Value: 6 Steps with Pictures

    From the photo above, each Treasury bond has a different yield, and the longer maturities often have higher yields than shorter yields. In reality, there are several different yield calculations for different kinds of bonds. For example, calculating the yield on a callable bond is difficult because the date at which the bond might be…

  • Effective Annual Rate EAR How to Calculate Effective Interest Rate

    Similarly, it is true for investments and interest-bearing accounts to evaluate compounding interest earnings or gains. If the bill is not paid in full every month, one can end up paying interest not only on the principal amount but also on the interest that accrued in the previous month. Credit card users tend to shop…