Accountancy

An introduction In this article, we will discuss revenue receipts. But before moving further, let’s understand what a receipt is. What is a receipt?  Receipts mark the moment that something like payments for receiving any good or cash has been acknowledged.  In accounting terms, receipts tell a lot about any business. Generally, these are the […]

What is Revenue Expenditure? All business entities incur expenses. There is a cost involved in every aspect of business, from starting a business to running and winding up. We look at the different terms used to address these different types of expenses involved in maintaining a business. The initial cost involved in a business, the

Partnerships are formal agreements between two or more people. The Partnership gives both parties certain rights and duties. Sometimes, the Partnership is dissolved for one of the parties and goodwill. The following are some of how a partner can typically be retired from a partnership: If a partner can be withdrawn from the formal agreement

Preparation of Receipt and Payment Account  To know the use of the accounts, one needs to know the meanings of these terms. What do you mean by receipt and payment account? Receipts are in the form of cash or bank. Receipts show transactions of how much an organisation or business entity receives in cash or

What is a promissory note? A promissory note, also known as a “note,” is a written promise to pay someone a specific amount of money on a certain date. It is often used in business transactions as a way to secure payment for goods or services. A promissory note can be used in place of

In financial analysis, part ratio analysis is one of the most important and effective lessons to understand the company’s financial stability and growth. From ratio analysis, one can easily understand the company’s past, present, and future. There are five basic types of ratios called Profitability ratio, Liquidity ratio, Activity ratio, Debt ratio, and Market ratio.

Every shareholder, employee, creditor, trader even the Government itself wants to keep updated on every company’s financial conditions. So, the Profit and Loss Account and balance sheet are financial statements the company releases periodically. These statements include a continuous record of companies’ financial stability. Also, the reason behind publishing is, that it is used by

Introduction The money known as Pravasi and Foreign remittance reached the home country of the worker and then it was used by his/her family. This is mainly used for fulfilling their needs such as food, shelter etc.  The drawbacks of Pravasi and Foreign remittance are:- Although the money is mainly sent back home to help

Introduction: Partnership accounts are prevalent and an integral part of any business platform. The partnership accounts mainly depend upon the number of partners, ratio of investment, and equity percentage. Each partner has separate capital accounts for investment purposes. These capital accounts are separate from the withdrawal account or Current account of the partners and are for

Introduction Amendment meaning – The word amendment means the changes or addition of any laws, contracts, constitutional acts, other legal acts, etc. to improve. These changes can be both formal and informal.  Amendment meaning in English – Amendment in English means a minute alteration or change of something maybe a law, legislation, or a piece