How to Calculate the Direct Labor Efficiency Variance

As with direct materials, the price and quantity variances add up to the total direct labor variance. The utilization of the labor resources depends on two factors the time taken and the rate per hour paid to the labor. The efficiency of labor is the optimum how to make an invoice of labor hours available […]

36 Business Expense Categories for Small Businesses and Startups

A cost pool is a grouping of individual costs, from which cost allocations are made later. Overhead cost, maintenance cost and other fixed costs are typical examples of cost pools. A company usually uses a single cost-allocation basis, such as labor hours or machine What is QuickBooks, and how does it work? hours, to allocate […]

Operating Cycle Learn How to Calculate the Operating Cycle

As a long-term target Topple Co should benchmark its performance against the leader in the sector. However, exam questions tend to be based in the retail sector where no such sub-analysis is required. The trade-off is perhaps most obvious with regards to the holding of cash. The Production manager affects the length of Different Types […]

What is bank balance and book balance?

You will want to assign the balances as of the first transaction in Aplos. If you’re entering transactions into Aplos as of January 1st, you’ll want to enter the balance of your asset and liability accounts as of December 31st. Before looking for issues, make sure you haven’t listed the same entry twice or overlooked […]

When to recognize revenue as earned Key concepts for startups

Most businesses also have revenue that is incidental to the business’s primary activities, such as interest earned on deposits in a demand account. This is included in revenue but not included in net sales.[6] Sales revenue does not include sales tax collected by the business. In general usage, revenue is the total amount of income […]

What is a bookkeeper?

Kelly is an SMB Editor specializing in starting and marketing new ventures. Before joining the team, she was a Content Producer at Fit Small Business where she served as an editor and strategist covering small business marketing content. She is a former Google Tech Entrepreneur and she holds an MSc in International Marketing from Edinburgh […]