Two-factor authentication, often called 2FA for short, is a way to make your online accounts more secure. It adds an extra layer of protection on top of your password. With 2FA enabled, you need two things to log into your account: This makes it much harder for bad guys to break into your accounts, even…
1. Use Strong, Unique Passwords You’ve heard it before, but it bears repeating: strong passwords are your first line of defense. Use a mix of uppercase and lowercase letters, numbers, and symbols. And make sure each account has its unique password. Reusing passwords is like using the same key for your house, car, and office…
Accretion in business is all about growth and adding value. It’s a super important concept that companies need to understand to be successful over the long haul. In the most basic sense, accretion means combining things to make something more significant or valuable. How Accretion Creates Value for Businesses So why is accretion such a…
Accreditation in business is a process where an organization is officially recognized as meeting specific standards. It shows that the company provides high-quality products or services. Professional associations or other authoritative bodies give accreditation. When a business is accredited, it means they have been carefully examined. The accrediting organization has determined that the company meets…
Accounts payable, often shortened to just AP, is the money a company owes to suppliers, vendors, contractors, and others who have sent them an invoice for goods or services received but not paid for yet. You can think of accounts payable as bills the company needs to pay. Any time a company buys something without…
An account payee is a person or entity designated as the only one allowed to receive payment from a specific check or negotiable instrument. When you write a check to someone and mark it as “account payee only” in the payee line, you are restricting how that check can be used. This type of check…
An accounting year serves as the foundation for financial reporting and business planning. Companies use this period to record all their financial transactions, from sales and purchases to investments and expenses. This structured approach helps businesses track their growth, measure profitability, and fulfill their tax obligations. Different Types of Accounting Years Not every organization follows…
International Accounting Standards (IAS) are countries’ rules and guidelines for preparing financial statements. These standards help companies speak the same economic language no matter where they operate. The International Accounting Standards Board (IASB) creates and updates these rules, ensuring companies worldwide can understand each other’s financial information. The Evolution of International Standards The story of…
Accounting ratios are handy for examining a company‘s financial health and performance. Think of them as little hints that give you an idea of how well a business is doing. You calculate these ratios using the numbers from a company’s financial statements. Then, you can compare these ratios to other companies in the same industry…
The accounting rate of return, often called the ARR, is a way to determine whether spending money on a project or investment is a good idea. It looks at how much profit the project might make compared to its cost. The project is probably worth doing if the ARR percentage is high enough. How the…
