Understanding the accounting language is important as a business owner. The accounting profession has many definitions and processes to reference depending on the industry of business. Below are a few vocabulary words to get you started thinking about your accounting system and establishing policies and procedures.
Cost basis: Original cost of investment minus prior accumulated depreciation
Goodwill: Purchase price less tangible value of physical assets purchased
Net asset value: Cost basis minus accumulated depreciations (prior total depreciation)
NSF: Non-sufficient funds, typically a returned check
Unrealized gain & loss: Investment that has increased & decreased in value, but not yet sold
A successful business owner understands their cost, asset worth and financial statements. Fontenot & Associates Solutions supports all business with establishing policies and procedures, visit our website today to learn more.
Master your industry craft- Fontenot & Associates Solutions
Hello, I'm Terra the Founder and Marketing Director of Fontenot & Associates Solutions. Thank you for joining my Accounting world. Our blog's purpose is to teach with the determination of closing industry and accounting process gaps that knowingly exist with our uniquely designed detailed procedures and trainings.
My mission is to offer the best accounting results for all companies seeking to close their process gaps with actual solutions. With my Bachelors and Masters Degree in Accounting, I strive for continuous development and professional growth in this profession. My professional career has been in the Oil & Gas industry for nearly the past 10 years but my business focus is to support and train accounting professionals in all industries.