Today, I will answer a very important question that many accountants ask what the steps for creating an accounting system are ? Or how do I build an accounting system properly?

The wage of workers is one of the most important factors involved in the cost of the product and has a great influence in determining the prices of the products

To complete the list of cash flows; as we took in the previous episode of the list of cash flows,we will now talk in this episode in more detail. Let's start with the indirect method

Disclosures of allocations , liabilities and potential assets  in the financial position , There must be disclosures of the allocations in the financial position . Allocations are included in the liabilities according to their types . The short term liability will be adjusted in a year , but the long term liabilities are adjusted in more than one year . They are listed in the income statement and  in the cash flow statement as explained before .

The direct method is used in the company to be easily displayed and read by decision makers. As we clarified the difference between the direct 

Today we have a practical example to show how to make a cash flow statement . This requires more than one part

We have explained all the items of the cash flow statement in both direct and indirect methods

Presentation of Financial Statements means how to present, organize, classify, and group items in the financial statements, as well as the notes to the financial statements

In practical reality after the end of the year or even after the balance sheet date, there may be some events after the reporting period: an event, which could be favorable or unfavorable

Cash flow statement is one of the financial statements prepared by the company for each financial period

In this part we are going to discuss cash flow statements from investing activities

If the company has a net operating profits of 30millions and the operating cash flow statement is 10 millions . The quality of operating profits = operating cash flow ratio / operating profits .

In part 2 we explained the net   earnings before tax  adjustments using the indirect method . In a CFO statement  the final number is the same if we used either methods ( the direct or indirect ) as the difference lies in the way of displaying the statement . In this article we are going to explain practically each term of the CFO statement .

In this article we will show the methods of preparing budgets for companies and projects . The budget consists of costs and revenues that are related to a particular project and are easy to follow their results independently through the company budget  . The project budget must match the  general  company budget    and of course the project uses all available resources in the departments such as marketing , financial accounting, production and human resources .

This is the uncovered part of the guarantee letter , that is as a company you presented a letter of guarantee from another company and you have facilities of a bank guarantee letter for example with the value of one million pounds . 

In the previous article we explained the decline standard of assets value and discussed all the included concepts . Now we will give examples of asset decline .

In the previous episode we concluded the first part of the practical example on the cash flow list and in today's episode here we take the operational activity items

Accounting treatment of the installment sales system, gross profit method In principle, we must know that revenue is a very important element of the income statement, on the basis of which critical decisions are taken by the parties concerned with the company,