by kasi | Jan 8, 2011 | Accounting
Financial reporting standards are periodically issued by International Financial Reporting Standard Board. These standards are meant to ensure uniformity in financial reporting to protect the interests of the investors worldwide. Earlier called International... by kasi | Jan 8, 2011 | Introduction to Finance
Capital structure decisions are very important for companies to make. But there are always some other factors which firms take into consideration while making capital structure decisions. These factors are given below: Sales Stability: Firms consider... by kasi | Jan 8, 2011 | Accounting
In history landlords used to appoint a literate person to write their financial information and to maintain accounts of their customers. The reason behind was that landlords himself were not capable for such functions or they had not enough time to write their... by kasi | Jan 8, 2011 | Accounting
Assets are shown in the balance sheet at the historical cost i.e. cost at which they were acquired. But it is not the case always that the assets presenting the values in the balance sheet are actually worth for that. There may be the case that actual value based on... by kasi | Jan 8, 2011 | Accounting
According to the matching principle of accounting expenses of the same period must be compared to or deducted from the income of that period to ascertain profitability. It is the matching principle which requires the use of accrual basis of accounting to avoid... by kasi | Jan 8, 2011 | Accounting
Bookkeeping is the recording of financial transactions such as sales, purchases, receipts, and payments. The person liable to record is named as book keeper or accounting clerk. Book keeper is not an accountant. The difference in book keeper and accountant is that a... by kasi | Jan 7, 2011 | Introduction to Finance
For the establishment of a target capital structure, the firm analyzes certain factors such as; mix of debt, preferred stock and common equity. The specific capital structure changes according to the conditions. The change in capital structure occurs due to the debt... by kasi | Jan 7, 2011 | Strategic Management
Key success factors are most significant to future success of industry firms. These factors encompass competencies, market achievements, resources, competitive capabilities and product attributes etc. It is most important for the strategists to be familiar with the... by kasi | Jan 6, 2011 | Accounting
A statement of reconciling the balances between bank book and bank statement is called bank reconciliation statement. Bank book is maintained by the customer or account holder in his/her (usually business firm) books of accounts and bank statement is prepared by bank... by kasi | Jan 5, 2011 | Accounting
A double entry system of accounting was devised with the concept that each transaction has dual effect. Two effects of each transaction are recorded on the basis of universally accepted debit and credit rules of accountancy. Double entry system is based on subsidiary...