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Bookkeeping

SLT Consultores > Bookkeeping

Accounting Terms

Gross profit is the amount of money your business makes from sales after deducting the cost of making and selling your product. This amount is before you pay operating costs, payroll, tax and overhead. Or you may owe money for an unpaid electrical or phone bill. Bank reconciliation helps you identify these cases so you know exactly how much money is available to your business. It’s also needed to identify any cases of human error, bank charges and possible fraud. While you have an established schedule to pay your employees (usually semi-monthly), you need to meet payroll tax requirements based on federal,...

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The Hidden Treasure of Balance Sheet Equation

The Hidden Treasure of Balance Sheet Equation The Tried and True Method for Balance Sheet Equation in Step by Step Detail One of the primary reasons new businesses fail is due to poor accounting. Successful small business owners utilize balance sheet data to reduce expenses, improve cash inflows and produce better financial outcomes. Additional varieties of bookkeeping accounts you will find are the equity accounts. For a startup business it's a great idea to have an accountant do your very first balance sheet, especially if you're new to business accounting. To begin your calculation,...

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What are retained earnings? definition and meaning

What are retained earnings? definition and meaning .gbip::beforecontent:url(https://ssl.gstatic.com/gb/images/silhouette_96.png)@media (min-resolution:1.25dppx),(-o-min-device-pixel-ratio:5/4),(-webkit-min-device-pixel-ratio:1.25),(min-device-pixel-ratio:1.25){.gbii::before{content:url(https://ssl.gstatic.com/gb/images/silhouette_27.png)}.gbip::before{content:url(https://ssl.gstatic.com/gb/images/silhouette_96.png" width="255px" alt="Retained Earnings"/>|||||||||||||||||||||}The statement of retained earnings (retained earnings statement) is defined as a financial statement that outlines the changes in retained earnings for a specified period. As an analyst, the absolute figure of retained earnings during a particular quarter or year may not provide any meaningful insight, and its observation over a period of time (like over five years) may only indicate the trend about how much money a company is retaining. As an investor, one would like to infer much more — such as how much returns the retained earnings...

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