What Is A Deferred Revenue Journal Entry? (with Examples)
Deferred revenue is the unearned revenue for an organization. It is the amount of advance payment that the company receives. However, it is for goods or services which are not yet delivered....
The Importance of Monte Carlo Simulation in Finances
Monte Carlo Simulation is a method that is applied to financial modeling. It is usually applied in cases where there is a probability of different outcomes and the same cannot be simply...
The Problems and Benefits of Value Added Tax System
Value Added Tax or VAT is a method of taxing that is in existence for many years. The idea behind the tax is that a tax is imposed on the consumer from...
Understanding All Parameters of the ROI Formula
Financial metrics help make the right financial decisions. Whether you want to invest in the stock market or buy a property, consider the return on the amount you invest and then make...
Horizontal Vs. Vertical Integration with Real-World Examples
When you start a business, one of the primary aims is to grow your customer base, not the profits since no profits without customers. After obtaining your customer base, you want to...
The 4 Main Types of Corporate Social Responsibility Explained
Businesses need to do much more than making high profits for success. It is important for a business to become socially responsible in order to survive in the economy. Businesses need to...
How to Calculate the Debt to Equity Ratio (and Why Does the Ratio Matter)
Financial ratios are important for readers. The ratios give an insight into the financial stability of the organization and allow investors to make the right investment decision. Every ratio serves a purpose...
What Is Included in Statement of Cash Flows?
One of the most important financial statements used across organizations, the statement of cash flows illustrate the amount of cash a business has generated in a reporting period. Every business is required...
What is the Difference Between Gross Margin and Contribution Margin?
There is little difference between gross margin and contribution margin
If you are running a company, it’s no doubt you are after reaping profits. And there is a...
An In-Depth Guide to Income Statement (with Examples Included)
An income statement is one of the five financial statements that readers rely on. It is important for an organization to prepare an income statement that reflects the fair and true value...
Different Types of Financial Statements
Financial statements are an important aspect of every business. It is a mirror that reflects the fair view of the financial performance and position of the organization. Financial statements help in the...
What is “Lean” in Product Design?
In product design, you may encounter some jargon that may confuse you? One of them is lean. This article will define what is a lean and help you learn more about it.
