Maylyn Cerda

This helps preserve the integrity of financial statements and identifies errors or fraudulent activities. For example, while performing an account reconciliation for a cash account, it may be noted that the general ledger balance is $249,000. Still, the supporting documentation (i.e., a bank statement) says the bank account has a balance of $249,900. For example, …

Accounting Reconciliation: What It Is, How to Do It, and Best Practices Read More »

If a company reports either no earnings for a period, or reports a loss, then its EPS will be represented by a negative number. Cautious investors don’t always trust the calculations of analysts or the figures published by a company. Many investors prefer this valuation batch level activity method because it is more objective; based …

Market Price Per Share: Formula and How to Calculate Read More »

LIFO does the opposite – the most recently acquired goods are expensed first. Overall, the FIFO method is fundamental to inventory accounting and financial statement accuracy. When applied properly, FIFO enhances business insights and aligns with operational realities. First in, first out method (FIFO) definition The actual inventory valuation method used doesn’t have to follow …

FIFO vs LIFO differences, examples, and formulas for 2025 Read More »