Revenue recognition is one of the key issues accountants have to deal with on a regular basis. It’s usually straightforward for a merchandiser, but when should revenue be recognized when the company accepts a contract that will take several months to several years to complete? In this article, we’ll discuss two methods for recognizing revenue from contracts.

Derivative accounting is a complex subject filled with complicated transactions, financial statement presentations, and disclosures. In this article, we’ll scratch the surface of the derivative field and hedging activities, which are integrally related to derivatives.

Most companies purchase and use fixed assets (also called property, plant and equipment). Fixed asset costs are allocated to multiple accounting periods by recording depreciation expense. What is the impact of not depreciating fixed assets?

If you ever worked in an accounting department, you are probably familiar with reversing entries. However, for non-accountants reversing entries represent an accounting term which may sound technical and confusing. In this article we will talk about reversing entries and why they are used.

Do you normally just look at the net income of a company? Do you analyze the company's cash flows from operations? See how the two are connected in this article discussing the quality of income.

What are operational obligations? What are financing obligations? How is a bond different from a note payable? How to define long-term liabilities? Find answers in this accounting article.

Two methods to account for prepaid expenses: balance sheet approach and income statement approach.