Accounting Education

Types of Greed

noreply@blogger.com (Vinod Kumar) — Thu, 26 Jan 2012 10:06:59 PST

Today, I am telling types of different greed on the basis of my past experience. 1. Greed due to Lack of Money When a person lives in lack of money and sees more money, greed may come in the...

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Non Performing Assets in India

noreply@blogger.com (Vinod Kumar) — Wed, 25 Jan 2012 19:02:52 PST

If we check overall position of non performing assets in India, it will be directly related to non performing assets of public sector banks, private sector banks, foreign banks and advances to weaker...

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How to Make Consolidated Income Statement - Part 2

noreply@blogger.com (Vinod Kumar) — Mon, 23 Jan 2012 22:00:47 PST

Yesterday, we had explained basic steps of making consolidated income statement. Today, we will clear these basic steps through an example. The trial balance of H Ltd and S Ltd are given below as...

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How to Make Consolidated Income Statement

noreply@blogger.com (Vinod Kumar) — Sun, 22 Jan 2012 22:28:44 PST

To make consolidated income statement is not difficult. But before this, you should understand the meaning of consolidated income statement. Consolidated income statement is important financial...

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Opportunity Cost of Capital

noreply@blogger.com (Vinod Kumar) — Fri, 20 Jan 2012 17:38:13 PST

One of the doubtful concept in finance is opportunity cost of capital. If opportunity word is not attached with cost of capital, we can easily explain cost of capital. By attaching opportunity word...

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What are Ponzi Schemes

noreply@blogger.com (Vinod Kumar) — Fri, 20 Jan 2012 06:07:19 PST

Ponzi schemes are those scam investment schemes in which return are given on the basis of money which are paid by new investors instead of earning of any profit. For example, you have been...

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Celebration of 4 Years after Birth of Accounting Education

noreply@blogger.com (Vinod Kumar) — Thu, 19 Jan 2012 00:51:10 PST

Today, we are celebrating of 4 years after the birth date of Accounting Education. First of all, we are thankful to you that you have given us the opportunity for providing service to you. We started...

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After-tax Cost of Debt Definition

noreply@blogger.com (Vinod Kumar) — Mon, 16 Jan 2012 22:08:40 PST

After-tax cost of debt means calculating the rate of interest after deducting tax rate from total interest rate. Actually we calculate cost of debt before the tax because interest is our operating...

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Non Operating Expense Examples

noreply@blogger.com (Vinod Kumar) — Sun, 15 Jan 2012 18:29:45 PST

Non operating expenses are those which are not related with the operation of business. Every businessman can do specific commercial activities. A business can not produce and sell of furniture and...

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Valuation Account for Deferred Tax Assets

noreply@blogger.com (Vinod Kumar) — Fri, 13 Jan 2012 21:32:08 PST

To know valuation account for deferred Tax Assets is not difficult but for this, you have to know deferred tax assets, liabilities and valuation account. After this, you can easily understand the...

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How to Make Balance Sheet from Accounting Ratios

noreply@blogger.com (Vinod Kumar) — Wed, 11 Jan 2012 05:07:02 PST

Accounting ratios have deep relationship with balance sheet. There are lots of accounting ratios which are calculated with the help balance sheet's assets and liabilities. So, there is no any...

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How to Record Credit Card Transactions

noreply@blogger.com (Vinod Kumar) — Mon, 09 Jan 2012 20:48:14 PST

Before recording credit card transactions, we should know, what is credit card? Credit card is a plastic card which is used for getting loan quickly for buying any product. So, payment through credit...

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Non current Assets Examples

noreply@blogger.com (Vinod Kumar) — Sun, 08 Jan 2012 18:24:42 PST

If you study the balance sheet's asset side, you find two type of assets. One is current assets and other is non current. All assets which are not current, will be non-current assets. We take...

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Who is the Richest Person in the World

noreply@blogger.com (Vinod Kumar) — Sun, 08 Jan 2012 08:36:52 PST

Do you know, who is richest person in the world? This is very simple question. You need not think anything because I am giving you answer. I am only richest person in the world. Yes, are you wonder...

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Depreciation on Equipment

noreply@blogger.com (Vinod Kumar) — Sat, 07 Jan 2012 17:49:04 PST

Equipment is the fixed assets of business, so it is reported on the balance sheet's asset side but we have to calculate its depreciation every year. It is deducted from our total revenue in profit...

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Why are You Human

noreply@blogger.com (Vinod Kumar) — Thu, 05 Jan 2012 22:23:01 PST

When God has made lots of things, he made also our ancestor. They were real human because they helped each other. They follow the system of barter. When teacher teaches to the children of...

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Documents Files

noreply@blogger.com (Vinod Kumar) — Wed, 04 Jan 2012 08:21:14 PST

My Business Files For keeping documents of business, we need different files. I can not tell, what are main documents files are needed for all type of businesses but as honest businessman, I can...

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Inspirational Message on New Year 2012

noreply@blogger.com (Vinod Kumar) — Sun, 01 Jan 2012 17:28:36 PST

First of all happy new year 2012 to my all online students, friends, readers and users. I pray to God that God will happiness to you and your family on this new year 2012. So, today, we are starting...

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Effective Annual Rate Explanation

noreply@blogger.com (Vinod Kumar) — Fri, 30 Dec 2011 07:21:26 PST

I have already explain effective annual rate or EAR in yesterday content APR vs EAR. But, I have studied more resource and ready to explain it with more simple way. EAR is just like a compound...

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Power of Truth and Honesty

noreply@blogger.com (Vinod Kumar) — Thu, 29 Dec 2011 04:30:55 PST

In our notice board, we have mentioned our motto. Truth and honesty are our motto because we have realized its power. These two words have given us what we wanted. So, we want to share its...

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APR Vs EAR

noreply@blogger.com (Vinod Kumar) — Wed, 28 Dec 2011 21:12:23 PST

APR and EAR are both annual interest rate which is used for calculation of annual interest on a loan. Full form of APR is annual percentage rate and EAR is effective annual percentage rate. But there...

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Year in Review 2011

noreply@blogger.com (Vinod Kumar) — Wed, 28 Dec 2011 10:34:22 PST

Some Developments in 2011 Just 3 day are far from new year 2012. Now, this is correct time to review 2011 in Accounting Education. In 2011, we learned lots of things from all of you online community....

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What is Net Profit Margin

noreply@blogger.com (Vinod Kumar) — Tue, 27 Dec 2011 22:34:10 PST

Net profit margin may be defined as net profit ratio. It tells us, the amount of net profit out of every $ 100 sales. It may be 10% or 20% or any. It is different from gross margin because in net...

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Money Multiplier

noreply@blogger.com (Vinod Kumar) — Mon, 26 Dec 2011 08:18:20 PST

Money Multiplier Simple Definition In simple words, money multiplier is ratio of actual and initial deposit and reserve ratio. Money multiplier is used in banks. For example, a depositor comes and...

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Profit and Gains from Business and Profession as Per Income Tax Law

noreply@blogger.com (Vinod Kumar) — Mon, 26 Dec 2011 02:36:19 PST

Profit and gains from business and profession is taxable as per income tax law 1961. But way of calculating net profit in IT law is different from accounting. As per income tax law, all expenses are...

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