Basic Accounting – Return on Investment


RETURN ON INVESTMENT Cast thy bread upon the waters: for thou shalt find it after many days. –Ecclesiastes 11:1 (KJV)– Obviously, for it to be worthwhile, the returning bread should be more abundant than the bread originally cast upon the waters. Investment can be described as the commitment of resources (funds) to a venture in the expectation future benefits (returns). Investment is thus every asset that an investor owns or controls (directly or indirectly) that has such characteristics. Investment also entails the assumption of risk. While in the spiritual sense,…

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Basic Accounting – The Income Statement


THE INCOME STATEMENT Financial accounting focuses on providing information about an organization and provides decision makers with an overview of the underlying financial transactions of the company being assessed. Accounting provides a good measure of transparency and accountability: the ability to see straight through the words and numbers and gain a clearer vision of the company and its operations. NOTE: For a better and complete view of this document in your browser,  please view on pdf Financial statements are prepared to ascertain the profit or loss status of a business,…

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Basic Accounting – General Concepts & the Balance Sheet

GENERAL CONCEPTS & THE BALANCE SHEET Accounting is the language of business, and is concerned with the collecting, analyzing and communicating financial information. This information is useful for those who need to make decisions and plans about businesses, and those who need to regulate those businesses. Such include, managers, owners, investors, governmental agencies, and others inside and outside the organization to which the financial information refers. NOTE: For a better and complete view of this document in your browser,  please view it on pdf Accounting provides answers and insights to…

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