Bookkeeping - Page 131 of 146 - Online Accounting

Types of Assets

Jun 8, 2020 Bookkeeping by Adam Hill

To qualify as a capital lease, a lease contract must satisfy any of the four criteria. First, the life of the lease must be 75% or greater for the asset's useful life. Second, the lease must contain a bargain purchase option for a price less than the...

11 things to watch out for when buying a leasehold property

Jun 8, 2020 Bookkeeping by Adam Hill

It provides guidelines on how the capital lease asset should be recorded by the business in its balance sheet, income statement, and cash flows. Capital lease refers to a type of lease where all the rights related to the assets are transferred to the...

Here’s How Capital Gains Taxes on Investment Properties Work

Jun 8, 2020 Bookkeeping by Adam Hill

Setting the bond yield equal to its coupon rate is the simplest definition. More complex calculations of a bond's yield will account for the time value of money and compounding interest payments. These calculations include yield to maturity (YTM), bo...

Capital Expenditure

Jun 5, 2020 Bookkeeping by Adam Hill

Capex Calculation measures the total expenditure on the purchase of assets by the company in a given period of the time and the same is calculated by adding a net increase in the value of the Plant, Property, and Equipment of the company during the y...

What happens when a capital expenditure is treated as a revenue expenditure?

Jun 5, 2020 Bookkeeping by Adam Hill

Maintenance costs are expenses for routine actions that keep your building’s assets in their original condition; these typically fall under Repairs and Maintenance (“R&M”) in your operating budget. On the other hand, capital expenditures/improvem...