Tag: performance

Forecasting in Accounting

See Also: ProForma Financial Statements Cost Center Weighted Average Cost of Capital (WACC) Percent of Sales Method Standard Costing System Comparison Analysis Budgeting vs Forecasting Forecasting in Accounting Forecasting in accounting refers to the process of using current and historic cost data to predict future costs. Forecasting is important for planning purposes – it is necessary to

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Financial Position

See Also: Financial Assets Chief Financial Officer (CFO) Statement of Financial Accounting Standards (SFAS) Pro-Forma Financial Statements Bank Statement Financial Position Definition The financial position definition the status of financial well-being regarding a company, is important to every single business. The financial position of a company is measured by the performance it takes in company

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Daily Sales Outstanding (DSO)

See also: Daily Sales Outstanding Formula Daily Sales Outstanding Calculation Accounts Receivable Turnover Analysis Credit Sales Financial Ratios Daily Sales Outstanding (DSO) Definition Daily Sales Outstanding (DSO) is a useful formula to measure the average age of accounts receivable. As a management tool, it can be used to measure as well as motivate employee performance. Though

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How to Maintain an Effective Job Schedule

How to Maintain an Effective Job Schedule Accounting’s main function in Construction is to properly manage the financial stability of the organization. One of the tools that accounting uses to do this is the construction job schedule. This schedule shows the performance of each construction job. Project management works with accounting to furnish the contract

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Current Ratio Definition

See Also: Balance Sheet Current Assets Current Liabilities Working Capital Analysis Quick Ratio Analysis Net Cash Current Ratio Definition The current ratio definition, defined also as the working capital ratio, reveals company’s ability to meet its short-term maturing obligations. Values for the current ratio vary by company and industry. In theory, the larger the ratio

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Cost Center

See also: Cost Driver Variable vs Fixed Cost Sunk Costs Activity Based Costing vs Traditional Costing Removal Cost Profit Center Responsibility Center Adding Value as a Financial Leader Cost Center Definition In accounting, a cost center is a type of responsibility center. A responsibility center is an organizational subunit the manager of which is responsible

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Comprehensive Income

See Also: Accounting Income vs. Economic Income Accounting Income Definition Economic Income Income Statement Net Income Debt Restructuring Maximizing Your Bottom Line In 3 Simple Steps Net Profit Margin Analysis Define Comprehensive Income Define Comprehensive Income as the overall change in wealth for a company during a period. This includes not only the growth through

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Covenant Definition

See Also: Company Valuation Coupon Rate Bond Fixed Income Securities How to Manage Your Banking Relationship Long Term Debt Non-Investment Grade Bonds Par Value of a Bond Covenant Definition The covenant definition is a restrictive clause in a bond contract. The purpose of the clause is to protect the lender (the party that invests in

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Benchmarking

See Also: Are You Collecting Business Data? Business Intelligence and Finance Marking-to-Market Company Life Cycle Market Positioning Budgeting 101: Creating Successful Budgets Navigating Black Swan Events Problems When Experiencing Business Growth Benchmarking Analysis What is benchmarking analysis? Benchmarking is the process of comparing a company’s performance to the performance of other companies. Management can do

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Carried Interests

See Also: Hedge Funds Venture Capital Current Expenditures How to Compensate Sales Staff Indirect Labor Carried Interests Definition What are carried interests? The carried interests definition is a portion of an investment fund’s annual profit that is given to the fund manager at the end of the year. Carried interests are designed to incentivize to the

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Best Practices for Compensating Sales and Marketing People

You can’t have a business without making at least one sale. Making sure your salesforce is appropriately incentivized to grow your business and land the right customers is crucial. So, what are the best practices for compensating sales and marketing people? Best Practices for Compensating Sales and Marketing People In this blog, we’ll highlight a

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Don’t Let Tax Strategies Drive Financial Performance

With most young companies cash is king. As a company grows managing the cash available to finance that grow is crucial to sustaining the growth rate. Minimizing the cash expenses of the company is an entrepreneurs and CFO’s primary job. One of the main cash expenses is federal income taxes. Don’t Let Tax Strategies Drive

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