by Small Business Accounting Software | Feb 20, 2026 | Assets, Chart of Accounts, Terminologies
Payments made in advance for goods or services to be received in the future, such as insurance or rent. They are assets until the benefit is realized. Expense recognition occurs gradually over the benefit period.
by Small Business Accounting Software | Feb 20, 2026 | Assets, Chart of Accounts, Terminologies
The value of goods held for sale or raw materials used in production. It is a current asset expected to be converted into cash through sales. Proper tracking avoids stockouts and overstocking.
by Small Business Accounting Software | Feb 18, 2026 | Chart of Accounts, Expenses, Terminologies
Covers non-salary compensation such as healthcare, retirement contributions, and allowances. Enhances employee satisfaction. Often a major labor-related expense.
by Small Business Accounting Software | Feb 15, 2026 | Accounting Proram, Terminologies
Compares actual financial performance against budgeted or forecasted amounts. Highlights over- and under-performance areas. A standard tool for management review.
by Small Business Accounting Software | Feb 10, 2026 | Terminologies
Revenue earned but not yet billed or collected. For example, consulting services provided in December but invoiced in January. Recognized under accrual accounting.
