Bookkeeping

How to Calculate a Trade Discount

Customers can take advantage of the reduced prices to increase their profit margins. Trade discounts are used to incentivize customers to buy in bulk, purchase products during off-peak periods, or take advantage of other favorable conditions. Interactive Brokers offers a long list of trading tools and platforms, market research resources, and investment products for experienced, …

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Full-Time Employees Vs Independent Contractors: Whats the Difference?

For information on eligibility for a voluntary program to reclassify your workers as employees with partial relief from federal employment taxes, see Voluntary Classification Settlement Program (VCSP) Frequently Asked Questions. To participate in this voluntary program, the taxpayer must meet certain eligibility requirements. Apply to participate in the VCSP by filing Form 8952, Application for Voluntary …

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Accounting Equation Overview, Formula, and Examples

It shows that assets owned by a company are coupled with claims by creditors and lenders (liabilities), and by the owners of the business (capital). For every transaction, both sides of this equation must have an equal net effect. Below are some examples of transactions and how they affect the accounting equation. Metro Courier, Inc., …

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Journal Entry Example Top 10 Accounting Journal Entries Examples

Let’s look at a payment of $1,000 with $800 going towards the loan balance and $200 being interest expense. There is usually a debt to the bank fees account, Office Supplies Account, Interest Account, etc., to recognize charges made by the bank, with a credit to the cash account. This happens when the debit or …

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