An operating lease is a traditional lease scenario that is accounted for as an expense on the income statement. A capital lease is capitalized over time and is recorded on the balance sheet.

This video explains the concept of a multi-step income statement, which breaks down net income into operating and non-operating income to provide investors with more detailed information about a company's finances. The video provides...

In this video, the concept of normal costing is explained as a means of allocating costs to a product, specifically focusing on overhead costs. The speaker discusses how a derived overhead rate is determined based on the driver of an...

Departments incur differing levels of activity inputs or costs associated with those activities. This video proposes a method for assigning those costs to a particular department.

Measure of Economic Strength

In this informative video, we dive into the concept of residual income. The host breaks down the definition and importance of residual income in various scenarios, particularly in finance and equity valuation. They explain the...

Requirements Contracts and Output Contracts

Product line analysis is a detailed process employed as part of the managerial accounting process. This video explains what is Product Line Analysis in managerial accounting.

What is Total Quality Management or TQM? Total quality management consists of organization-wide efforts to "install and make permanent climate where employees continuously improve their ability to provide on demand products and services...

Employee Payroll Deductions (Accounting) example

Notes Receivable example

Lower of Cost or Market - Inventory example

Intermittent Weighted Average example

Ch4. Video 9 - Accounting Cycle for Merchandising Business Example Part 2

Ch4. Video 10 - Accounting Cycle for Merchandising Business Example Part 3

Journal Entries and T Accounts - Trial Balance Example - Part 2 of 2

Professor AJ Kooti provides a detailed examples of how to account for sales of inventory using the Intermittent FIFO method.

In cost accounting there is a specific process used for calculating the overhead rate. This video explains how to calculate the predetermined overhead rate in managerial accounting.

Break even analysis is a key assumption when conducting a Cost Volume Profit Analysis. This video explains the relevance of this assumption.

The Cost Volume Profit Analysis yields the number of units needed for an operation to break even. At break even, the operating income is zero.

Various assumptions must be made or are relevant when conducting a Cost Volume Profit Analysis. This video explains the nature of those assumptions.

What is the Excess Earnings Method of Business Valuation? The excess earnings method (also called the “formula” method) basically values a company in two pieces – the tangible value and the intangible (or “goodwill”) value. The tangible...

A sensitivity analysis as part of the cost volume profit analysis shows how profits vary with changes in cost or volume.

There are numerous transactions or economic events that will have an effect on a shareholder's equity. This video identifies the various factors that will have an effect on shareholder equity.