What Accounts Receivable (AR) Are and How Businesses Use Them, with Examples
What Are Accounts Receivable (AR)? Accounts receivable (AR) are the balance of money due to a firm for goods or services delivered or used but not yet paid for by…
Balance Sheet: Explained
What you need to know about these financial statements What Is a Balance Sheet? The term balance sheet refers to a financial statement that reports a company’s assets, liabilities, and…
What Is Depreciation, and How Is It Calculated?
What Is Depreciation? The term depreciation refers to an accounting method used to allocate the cost of a tangible or physical asset over its useful life. Depreciation represents how much…
Accrued Interest Definition & Example
What Is Accrued Interest? In accounting, accrued interest refers to the amount of interest that has been incurred on a loan or other financial obligation as of a specific date…
Interest Expenses: How They Work, Coverage Ratio Explained
What Is an Interest Expense? An interest expense is the cost incurred by an entity for borrowed funds. Interest expense is a non-operating expense shown on the income statement. It…
Guide To Company Culture
Company culture refers to the beliefs and values that are firmly held by a company and expressed through its goals. A strong company culture can help a company establish a…
What Is The S&P 500? How Does It Work?
The S&P 500 is a stock index that tracks the share prices of 500 of the largest public companies in the United States. Formally known as the Standard & Poor’s…
El Salvador Becomes Bitcoin Laboratory as First Nation to Adopt it as Legal Tender
Bitcoin officially became legal tender in El Salvador on Sept. 7, 2021, making it the first country to adopt the currency. The move has turned the Central American country into…
Leverage Ratio: What It Is, What It Tells You, How To Calculate
What Is a Leverage Ratio? A leverage ratio is any one of several financial measurements that look at how much capital comes in the form of debt (loans) or assesses…