Revenues
Revenues refer to the income earned by a company through its normal business operations, such as sales of goods or services, rent, interest, and other sources. It is the primary source of funds for a company and is recorded on the income statement. Revenues are essential for the financial health of a company as they […]
Shareholder’s Equity
Shareholder’s equity refers to the total amount of capital that has been contributed by the owners (shareholders) of a company, plus any retained earnings or profits that have been reinvested in the business. It represents the net worth of the company and is shown on the balance sheet as a component of the company’s total […]
Liabilities
Liabilities refer to the financial obligations or debts that a company or individual owes to others. This can include loans, unpaid bills, salaries and wages owed to employees, taxes, and other financial obligations. Liabilities are recorded on a company’s balance sheet and are an important aspect of financial reporting and analysis. They represent the amount […]
Accounts Payable (AP)
Accounts Payable (AP) is an accounting term that refers to the amount of money that a company owes to its creditors or suppliers for goods or services that have been purchased on credit. It is a liability on the company’s balance sheet and represents the short-term debts that must be paid off within a specified […]