The most important accounting formulas are practical and intuitive, making them easy to remember and apply. Many, or all, of the products featured on this page are from our advertising partners who ...

Companies finance their operations with a combination of debt and equity. The terms and amounts of these loans and capital contributions affect the health and financial condition of the business. From ...

Aid in the calculation of key financial ratios, such as the debt-to-equity ratio and current ratio, which influence ...

These aren’t just documents for your accountant. They’re tools every founder can use to make better decisions, avoid ...

The expanded accounting equation builds upon the basic accounting equation's use of assets, liabilities and equity by incorporating additional components such as revenues, expenses and withdrawals.

A bedrock principle of business bookkeeping is that the accounting equation must always balance: Your assets must always equal your liabilities plus your owner's equity. When your business becomes a ...

Previously, we discussed some ways to improve cash flow within a company. This evolved from a question that was posed by contractors on a message board regarding the difference between profits and ...