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Expenses of other company is not recorded and it may be shown as loan to that company.

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10y ago

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What is a statement of income?

Income statement can help the manager of the to know whether their company in a good condition or not and the income statement also show the net income of the company. The company should use efficiently because it will generate the sales for the company. In the financial statement, there will include all the source of finance that use by the company such as sales, interest expenses and others. If the manager know about the information of the sources of finance that use by the company, it can help them to make the decision whether the company should to make the further investment. If the company are efficient to use all the sources of finance, they can make for the new investment of the company. so, this financial statement help the company to make the decision by giving the information of the revenue and expenses of the company.


Is a telephone expense a liability?

No, a telephone expense is not a liability; it is an expense incurred by a business for communication services. Expenses represent costs that reduce net income, while liabilities are obligations the company owes to others. Telephone expenses are recorded on the income statement, affecting profitability, while liabilities are recorded on the balance sheet. Thus, they serve different purposes in financial reporting.


Can you claim plumbing repair expenses on your taxes on a rental property?

Yes. You claim income that you receive in addition to expenses like repairs, insurance, property taxes, depreciation, etc. This is the case with me assuming that you are the owner of property that you rent to others and not rental property where you are the tenant.


Is a personal journal posted on the web?

A personal journal posted on the web is often referred to as a blog. It typically consists of personal reflections, experiences, and thoughts shared publicly or within a specific community. While some may keep their journals private, others choose to share their entries online for various reasons, including connecting with others or expressing themselves. The level of privacy can vary based on the platform and the author's preferences.


What does net of expenses mean?

"Net of Expenses" means after expenses. It's rather vague, as some call "Depreciation and Amortization" an expense while others don't; "Interest on Debt" is an expense, etc. In an accounting example, most would say "Earnings Before Interest and Taxes (EBIT)" instead of "Net of Operating Expenses," due to each firm's ability to classify its expenses differently. It can also be used to signal what an analyst has taken out versus what has been left in during calculation. For instance, if we look at an investment, and it earns a net risk-adjusted 5% return, this means that the return figure has been adjusted for the risk associated with the vehicle, but that expenses have not yet been deducted from it. This provides a bit less ambiguity than the accounting terminology. Hope this helps! :-)

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What are examples of business liabilities and how can they impact a company's financial health?

Examples of business liabilities include loans, accounts payable, and accrued expenses. These liabilities represent money owed by the company to others. If a company has high levels of liabilities, it may struggle to meet its financial obligations, leading to cash flow problems, increased interest expenses, and potential bankruptcy. Managing liabilities effectively is crucial for maintaining a healthy financial position.


What is a statement of income?

Income statement can help the manager of the to know whether their company in a good condition or not and the income statement also show the net income of the company. The company should use efficiently because it will generate the sales for the company. In the financial statement, there will include all the source of finance that use by the company such as sales, interest expenses and others. If the manager know about the information of the sources of finance that use by the company, it can help them to make the decision whether the company should to make the further investment. If the company are efficient to use all the sources of finance, they can make for the new investment of the company. so, this financial statement help the company to make the decision by giving the information of the revenue and expenses of the company.


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How can one determine the total liabilities on a balance sheet?

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