The most comprehensive educational resources for finance

Accounting Case Study – Journal Entries

We had started our case study for explaining accounting concepts. You can view the case study introduction at the following link: Accounting Skills – Case Study In this part, we present the journal entries for the transactions at Web Design Inc. We have prepared a PDF document containing the transactions and their respective journal entries.

Cheat Sheet – Accounting for Common Business Transactions

While a business conducts a variety of transactions on a daily basis, there are a few transactions that you will come across quite often. This cheat sheet provides a list of such common transactions in a business along with their accounting treatment. Transaction Account 1 (Dr.) Account 2 (Cr.) Receiving advance from the client Asset

Maintaining Accounting Records

Accounting is the act of sorting and recording information. Accounting procedures can help you manage the huge amount of information that a business can generate. Accounting records sort and categorize financial data into groups of information that are meaningful to stakeholders of the business. A successful and active business may encounter hundreds of transactions in

Rules of Debit and Credit

In the previous lecture, we learned  about how different transactions affect the accounting equation. We will now go more in depth into these transactions and learn about how they affect different accounts, and how to apply the rules of debit and credit in different situations. You will learn about: Types of accounts Analyzing transactions T-accounts

Accounting Skills – Case Study

Let’s assume that David, a web designer, after working for many years with IT companies, has recently started a new web design company to provide website design and other related services to local businesses in his location. The company is named “Web Design Inc.” Running a web design company can pose many challenges. You need

Accounting Business Transactions and the Accounting Equation

In this lecture, we will learn about how businesses conduct transactions, how these transactions affect the financial position of the business and the concept of accounting equation. The lecture discusses: Business transaction Types of accounts Accounting Equation

Key Accounting Concepts

There are a few important concepts related to business and accounting that form the backbone of the modern accounting and financial reporting system. In this lecture, we will look at some of these concepts and how the accounting system works. The video discusses: Three money questions The accounting system Finance vs. Accounting Fiscal Period Double

Introduction to Accounting Skills for Managers

Welcome to Finance Train’s online course on Accounting Skills for Managers. You are about to learn one of the most important skills that you need to help you manage your business successfully. As a business owner or manager, you need to understand the basics of finance and accounting. Even though you will not be directly

Calculation of Non-controlling Interest in Consolidated Financials

According to Financial Accounting Standards Board (FASB), there is a specified way in which the non-controlling interest (minority interest) should be reported in the consolidated financial statements. These details are provided in accounting rules SFAS 141(R) and SFAS 160. According to the new rules, all assets and liabilities of the acquired company must be recognized

Minority Investments (Minority Interest)

A minority investment or a minority interest refers to the non-controlling share in a company held by an investor or another company. For example, a private equity firm may have a non-controlling share in a company. The minority investment is usually less than 50% of the total outstanding shares of the company. A minority interest