What Is Depreciation and How Do You Calculate It?
Therefore, a change in estimate does not alter the financial statements for prior periods. Under the units of production method, the amount of depreciation charged to expense varies in direct proportion to the amount of asset usage. Thus, a business may charge more depreciation in periods when there is more asset usage, and less depreciation […]
Best Practices when Accounting for Grants
Grant budgeting is the process of allocating grant funds across various project activities and expenses, providing a financial blueprint for the project. Remember, the right software should possess these key features and be user-friendly and flexible enough to adapt to changing grant requirements and conditions. It’s also beneficial if the software provider offers training and […]
Unearned Revenue: What It Is, How It Is Recorded and Reported
Unearned revenue is not an uncommon liability; it can be seen on the balance sheet of many companies. Unearned revenue or deferred revenue is considered a liability in a business, as it is a debt owed to customers. It is classified as a current liability until the goods or services have been delivered to the […]
