A company’s growth and financial situation in relation to competitors are displayed via horizontal analysis. Carefully examine the percentage changes to understand the magnitude and significance of variations. Look for major fluctuations that may indicate critical events or shifts in the company’s operations. Nonetheless, continuous comparisons and the implementation of additional financial analysis techniques help […]
Category Archives: Bookkeeping
This means the amortization schedule accounts for the time value of money, and the interest expense recognized each period reflects the bond’s current carrying value. Since this method uses the bond’s market yield at issuance and assumes the bond will not be called, the amortization is evenly spread but changes slightly based on the bond’s […]
Stripe’s guide on accounting for startups offers helpful advice on setting up your financial systems. If you are running a SaaS startup, and you sell a 12-month contract to a client for $120,000 in January, on a cash basis you record $120,000 and that’s it. You don’t get any more revenue from that client for […]