Bookkeeping

Illinois offers a homestead exemption up to a maximum of $10,000 in Cook County and $6,000 in all other counties. You must own the property and use it as your principal dwelling place. The exemption varies for others, such as persons with disabilities and veterans. There are three types of residency statuses when it comes…

Adjusting entries is necessary because trial balances may not be up-to-date and complete. Adjusting entries rectifies any discrepancies between an entity’s finances and what is recorded on records, statements, etc. Here are the Wages Payable and Wages Expense ledgers AFTER the closing entry (not shown) and the 7/3 entry have been posted. Wages are payments…

In October 2021, the Marine Corps transitioned to a new accounting system. While DOD remains the only large federal agency that hasn’t achieved favorable financial audit statement results, small agencies in DOD that use the system have. And the Marine Corps did for FY 2023, signaling significant progress for DOD. For more information about Fieldguide…

Due to the period of limitation enforced by bodies like the SEC in the United States, businesses must retain their financial records for audit report purposes for a minimum of seven years. Balance sheets capture what the company owns (assets), owes (liabilities), and what remains for the owners (retained earnings and equity accounts). A well-prepared…