Category Archives: Bookkeeping

These ratios help the analysts and stakeholders understand how effectively the business is able to generate revenue using its resources. It is often used to compare businesses with their competitors to analyse the performance, growth, and future opportunities so stakeholders … Continue reading →

If assets increase, either liabilities or owner’s equity must increase to balance out the equation. The balance of the total assets after considering all of the above transactions amounts to $36,450. It is equal to the combined balance of total … Continue reading →