What are Treasury Shares? Treasury shares or reacquired shares are those which a company had issued and subsequently reacquired from shareholders. Once acquired, these shares remain in possession of the company and can be sold in the future, or the…
The adjusting entries in accounting Adjusting entries are made specifically to update the initial recording of accounting data. There are two instances in which adjusting journal entries are required before the release of financial statements: Certain expenses or revenues have not…
What is economic stabilization? Economic stabilization or macroeconomic stability is a situation when an economy’s output matches its production capacity, its labor resources being fully employed, and inflation being at lower levels. Policymakers create economic policies such as fiscal policy…
Entrepreneurs vs Innovators: Entrepreneurs often form new businesses called startups that focus on creating and introducing a new product or service. While innovators also play their part within those startups. Both terms relate to a certain extent, however, there are…
What is budgeting? Budgeting is essential to financial well-being. Being an student, you always budget your study time and your money. Families budget income and expenses. On the other hand, Governmental agencies budget revenues and expenditures. While businesses create budgets…
Accounts receivable factoring: The process in which a business entity sells its receivables to a financial institute (called a factor) is known as factoring or accounts receivable factoring. A factor is a financial institute or bank that buys receivables from…
How to earn money with Cryptocurrency? When you live in the digital age, you are always looking for digital income streams. Cryptocurrency is most likely one of them, and it should be if you want to survive in the fin-tech…
Effects of inflation on business Most people think about inflation as a situation of rising prices. However, it is actually the value of money going down. The overall effects of inflation are negative on individuals as well as businesses. When…
Accounting profit vs economic profit: The term profit in general, is the difference between the total revenues and total expenses. However, economists use the term “profit” differently from the way accountants use it. This is just because of the various…
Types of share capital Share capital is the sum of all funds that companies raise by issuing shares to investors. Following is the list of types of share capital that we will discuss in this post. 1) Authorized capital 2) Issued capital…