Overview of Financial Statements

After preparing your adjusted trial balance, the next step in the accounting cycle is to prepare your financial statements. Learn about the balance sheet, income statement, statement of cash flow, and retained earnings statement in this tutorial. Continue reading

Variable Costs

Variable costs are expenses that increase or decrease as a direct result of increases or decreases in sales or production volume. Learn more about variable cost in this tutorial. Continue reading

Fixed Costs

Fixed costs are defined as any cost or expense that does not vary with changes in the level of business activities like sales or production. Learn more about fixed cost in this tutorial. Continue reading

Debt to Equity Ratio

The debt to equity ratio indicates how much of a company’s financing is provided through debt as compared to equity. This interactive tutorial walks you through the calculations, including where Total Assets and Total Liabilities are on the Balance Sheet. Continue reading

Debt Ratio

The debt ratio indicates how much of a company’s assets are provided through debt. This is the proportion of funding that is provided by creditors. This interactive tutorial walks you through the calculations, including where Total Assets and Total Liabilities are on the Balance Sheet. Continue reading

Balance Sheet: Quiz

Study balance sheet terms like assets, depreciation, goodwill, and more with this fun quiz. Continue reading

Cash Flow

Learn about the structure and contents of a statement of cash flows by examining one for the fictitious company Bogus Manufacturing, Inc. Continue reading

Income Statement, Single Step

Learn about the structure and contents of a single-step income statement by examining one for the fictitious company Bogus Manufacturing, Inc. Continue reading

Income Statement, Multi-Step

Learn about the structure and contents of a multi-step income statement by examining one for the fictitious company Bogus Manufacturing, Inc. Continue reading