Changes to Revenues and Assets Since stockholders’ equity is equal to the sum of assets plus liabilities, an increase in assets causes an increase in stoc...

Total costs are calculated as TC = TVC + TFC. See examples for total fixed costs and total variable costs. What is average total cost equal to? Average co...

Your profit margin shows how much money your business is making, the general health of your business and problems within your business. “Profit margin is ...

The average profit definition is the total profit divided by the output or the sum of the profits during each period divided by the number of periods. An ...

Definition: A purchases journal is a record of all acquisitions made on credit during a period. In other words, this is a journal that keeps track of the ...

There are two FOB considerations: FOB Destination and FOB Shipping Point. If FOB destination point is listed on the purchase contract, this means the sell...

Why are Source Documents Important? Bookkeepers and other accounts personnel are adamant that a business keeps records of everything. The source documents...

A company’s chief executive officer is the top dog, the ultimate authority in making management decisions. Even so, the CEO answers to the board of direct...

6 Effective Sales Negotiation Skills Proven to Increase Margins “Prime” the Sales Negotiation with Preparation. Understand the Power of the Anchoring Bias...

They require only office spaces, office supplies, etc. Other high fixed cost companies are airlines, automobile manufacturers, and pharmaceutical companie...