When to use process costing
Process costing is a type of cost accounting method that is used to determine the cost of a product at …
Accounting
Bank Service Charge Journal Entry
A bank service charge journal entry is part of a bank reconciliation process. Businesses usually discover that at the end …
Tangible Book Value: Formula and Calculation
There are financial metrics that allow investors to assess a company’s ability to provide its investors with an acceptable return …
Predetermined Overhead Rate (POHR): Formula and Calculation
The predetermined overhead rate formula can be used to balance expenses with production costs and sales. For businesses in manufacturing, …
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Section 168 deduction
Individuals and businesses are often on the lookout for tax incentives that aid in reducing their tax liabilities. One such …
Bonus Depreciation Limits
Does bonus depreciation have a limit? Bonus depreciation was enacted by Congress’ Job Creation and Worker Assistance Act of 2002 …
Bonus Depreciation Phase Out
In an ongoing effort to help small businesses, the Internal Revenue Service (IRS) permits business owners to claim first-year bonus …
What is Special Depreciation Allowance (SDA)?
The special depreciation allowance (SDA), commonly referred to as bonus depreciation is a tax incentive that allows businesses to deduct …
Journalizing Adjusting Entries Examples and Types
Journalizing adjusting entries are a necessary part of every company’s accounting or bookkeeping process because, without these adjusting entries, a …
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Fed Balance Sheet Reduction Explained
The Federal Reserve’s balance sheet is a critical tool for implementing monetary policy and has grown significantly over the years, …
