Category: Bookkeeping

While the cost per unit refers to how much you spend to deliver one unit, the price per unit refers to how much you charge customers for each item sold. It helps you inspect...

The concept of the T-account was briefly mentioned in Introduction to Financial Statements and will be used later in this chapter to analyze transactions. A T-account is called a “T-account” because it looks like...

If it’s financed through debt, it’ll show as a liability, but if it’s financed through issuing equity shares to investors, it’ll show in shareholders’ equity. To begin with, it doesn’t provide an analysis of...

Let’s say that in the middle of the year Doris realizes her orthodontics business is spending a lot more money on plaster, because her new hire keeps getting the water to powder ratio wrong...