Weekly Finance Tips

Posts Tagged ‘Accounts Payable’

Financial ratios are useful to evaluate the strength of your business. The liquidity ratio (current assets less current liability) shows the amount of cash without your having. A current ratio greater than one indicates that you have enough current assets to meet its current obligations when due.

The debt ratio (total liabilities divided by total equity) indicates the amount of money from their creditors, compared with the amount of their money is supporting its assets. A debt-equity ratio greater than one is a strong indicator that you have used too much. Too much debt is a problem in good times, but can wreak havoc when the business falls.

So take a few minutes and see your balance . Compared to last year and see how your business is progressing. Compare your current ratio and debt to equity ratio last year and see if your business is becoming stronger or weaker. You will be amazed at the amount of valuable information contained in the balance .

The Profit and Loss which describes how your business is doing at the time and the balance is the statement that tells you about the long-term health and strength of your business. The balance shows if it can meet its obligations when due, the amount you owe to others and your prospects for staying in business.

Assets = your stuff. Liabilities and equity = how to pay for your stuff. Liabilities indicate the amount of your stuff that you have paid with money from other people. Equity shows how much of your stuff that you have paid with their own money. Retained earnings are exactly what it sounds like: how much of the gains of previous years have been in the business. Read the rest of this entry »

A client requests an extension, they are willing to talk to you, but never still see the check. In this type of economy, which are required to have a few late pays. Why is it that the final accounts to pay so many lies? What kind of lies could be a client what it means to give? – “The check is in the mail” – “Do not get the bill” – “Not satisfied with the service” – “Waiting for approval” These accounts to lie because they are trying to buy time.

Why is it that the accounts end of paying so many lies?

What kind of lies could be a client what it means to give?

- “The check is in the mail”
- “Do not get the bill”
- “Not satisfied with the service”
- “Waiting for approval”

These accounts to lie because they are trying to buy time. Honestly, they mean to you pay, they simply do not have the money or resources to pay at this time. How can we better manage these accounts? Read the rest of this entry »

If you are good with numbers and likes the idea of working with money, then funding work may be a good match for you. The different types of jobs require different levels of experience, but can be anywhere from the basic level of needing a college degree.

Types of entry level jobs in finance will handle things as accounts receivable and accounts payable. This simply means that the invoices of a company must pay in comparison to the money a company has coming in. Read the rest of this entry »