Accounting

Accounting Accounting is the language of business. It is a system of recording and communicating financial transactions to internal and...

What is GAAP? Generally accepted accounting principles or GAAP is a set of standards and principles for financial reporting that...

Recording Journal Entry A journal entry is a recording of a financial transaction that has occured within the company. Journal...

What is a Book Keeper? A bookkeeper’s role within a company is to process and record financial transactions that have...

What is a Financial Statement? Financial statements are a collection of reports about an organization’s financial results, financial position, and...

Revenue the line blood to a business. What is Revenue or Sales? Revenue is the monetary amount a company earns...

Supplies and raw materials of the business. What is Cost of Goods Sold or (COGS)? Cost of goods sold (COGS)...

What is Gross Profit? Gross profit is the remaining revenue after deducting the costs associated with producing a company’s products...

What is Operating Expense? Operating expenses are costs associated with keeping a business operating at full capacity. Operating expenses are...

What is SG&A? Selling, general, and administrative expenses (SG&A) are often referred to as operating expenses for a company. Depending...

What is R&D Expense? Research and development (R&D) expenses are costs associated with the research and development of a business’s...

What is Synergy? Frequently referenced through mergers and acquisitions (M&A), synergy is the concept of combining two entities that will...

Earnings Before Interest & Taxes = EBIT What is Operating Income or EBIT? Operating income also known as EBIT(earnings before...

By Haojun Yang What is Treasury Stock? Treasury stock is the previously-issued common stocks that are re-purchased from the stockholders...