Author: Obotu Agape Oguche

Congress’ Job Creation and Worker Assistance Act of 2002 enacted a tax incentive that allows a taxpayer to expense the

When a business uses the accrual accounting method, several year-end adjusting entries must be made to the profit & loss

What qualifies for bonus depreciation? When you purchase properties for your business, such as a computer or vehicle, that last

At the end of an accounting period, adjusting journal entries may be required when reviewing your financial records. Adjusting entries

Claiming bonus depreciation can be a beneficial tax break option for business taxpayers that purchase equipment, furniture, and other fixed

For taxpayers, knowing how to calculate bonus depreciation is essential. Depreciation in accounting is a way of allocating the cost

At the end of an accounting period, the amount of liability that remains for salaries that have been earned by

Can you take bonus depreciation on rental property? According to the Internal Revenue Service (IRS), bonus depreciation permits business taxpayers

In running a business, bad debt is an unfortunate reality that one may have to deal with. This is the

Adjusting entries are the changes made to the journal entries that were already made at the end of an accounting

When running a business, tracking the amount of revenue coming in and whether it is sufficient enough to pay for

How does bonus depreciation work? For taxpayers looking for how to minimize short-term tax liabilities, electing to take bonus depreciation

The prepaid insurance journal entry follows the same accounting principle for all prepaid expenses. Sometimes, in business, some expenses are

When are adjusting entries recorded? Adjusting entries are recorded when using the accrual accounting method which is based on the

What are adjusting entries? For every business, there is a time frame (usually a fiscal year) in which a business

In accounting, there are different types of adjusting entries that reflect unrecorded business transactions that have taken place but have

An accrued expenses journal entry is made in the books when recording the expenses incurred over one accounting period that

Is accrued expenses debit or credit? Accrued expenses, which is also called accrued liabilities, is an account that reports an

Why are adjusting entries necessary? Adjusting entries are made in a company’s accounting records to account for missing information, correct