What type of account is the Dividends account? What are dividends?  The dividend is the distribution of some of a company’s earnings to a class of its shareholders, as determined by the company’s board of directors  Dividends are payments to reward investors for putting their money into the venture. Types of […]

What are the essentials needed in a business report? An executive’s report shows detailed information about the organization’s history, staff, and volunteers working for a specified period. Besides, it is customary to include a financial statement in the organization’s annual report. It also indicates the plans for future activities and developments […]

How do you work out retained earnings? What has retained earnings?  Usually calculated at the end of each financial year by doing the profit and loss account and then deducting any dividends paid out. Then the balance carried forward to the following year and showed in the balance sheet. Tips for […]

What is the difference between bad & doubtful debts? If you have bad debts in your business, you have lost them, and the buyer who never paid for your product or service will not pay in the future. Doubtful debts are those you might not collect the payment for your sales, […]

What is daily in bookkeeping in a business? First, we must see whether the business uses a cash or accrual basis to ensure the accounting system is set up. Cash basis The sample spreadsheet for What is daily in bookkeeping in a business? Sundries Materials Travel Cash    Peter Fees T’phone […]