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It is commonly used in managerial accounting and for internal decision-making purposes. Variable costing poorly upholds the matching principle, as related expenses are not recognized in the same period as related revenue. In our example above, under variable costing, we would expense all fixed manufacturing overhead in the period occurred. Period costs can be found …

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It’s important to allocate funds for unexpected expenses such as repairs or maintenance issues. A good rule of thumb is to set aside 10% of your http://www.mgstk.ru/news_auto/367 budget for these types of expenses. Engage the services of a professional accountant or tax advisor to handle your annual tax preparation. Only Add Accounts When Necessary https://u333u.info/category/employment/page/4/ …

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If a company consistently performs well from a profitability standpoint and decides to reinvest in its current growth, the retained earnings balance will increasingly accumulate over time. As implied by the name, the “book” value of equity represents the value of a company’s equity according to its books (i.e. the company’s financial statements, and in …

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