Revenues vs Expenses Revenues vs Expenses are two important terms in accounting and finance, and they are use to measure the financial performance of a business. It is the income earn by a business from the sale of goods or services. It is the money that flows into the business as a result of its… Read More »
Direct and Indirect Expenses Before diving into the specifics of salaries and wages, it’s essential to understand the basic definitions of direct and indirect expenses: Direct Expenses: These are expenses that can be specifically linked to the creation of goods or the provision of services. They vary depending on the level of production. In other… Read More »
Debit expenses and Credit revenues In accounting, we debit expenses and credit revenues because it follows the principle of double-entry bookkeeping. This principle states that every financial transaction has two equal and opposite effects: a debit entry and a credit entry. To visit- https://www.mca.gov.in/ Expenses always come in debit because they represent a decrease in… Read More »
