Businesses use accounting methods to record, track and analyze financial transactions. Within an accounting cycle, such as a month or calendar year, businesses can look at gross and net totals for a ...

A business may opt to use installment sale accounting when it sells goods but the customer pays on an installment plan that exposes the business to considerable risk of default. Instead of counting ...

Profit is an essential component of any business operation. It indicates the business's financial success and allows owners to continue running their companies. Understanding how to calculate profit ...

Gross income measures how much total income a company brings in from the sale of its products and services minus the cost of producing those goods and services. In contrast, net income is the profit ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society committee, ...

Claire Boyte-White is the lead writer for NapkinFinance.com, co-author of I Am Net Worthy, and an Investopedia contributor. Claire's expertise lies in corporate finance & accounting, mutual funds, ...