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Occasionally a small business owner, when asked about how much equity they have in their company, responds with their bank account balance. But this is not equity. As an owner of a business, it is good to know your total equity in your company and how it is calculated. Your equity …
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An S-Corporation sometimes causes confusion as to whether it actually qualifies as a traditionally identified business entity. A person could split hairs arguing both sides, but what is important to recognize is that a business registers with their state as their chosen …
In simplest terms, the P/E ratio is a way to value a company by comparing the price of its stock to its earnings. This is done by taking the price of a share of stock and dividing by the earnings …
As a business owner, you are probably aware that there are two main accounting systems: Cash Basis Accounting and Accrual Accounting. However, understanding the differences between them, including their advantages and disadvantages, is not so simple. The primary difference between …