The expanded accounting equation builds upon the basic accounting equation's use of assets, liabilities and equity by incorporating additional components such as revenues, expenses and withdrawals.

There are two basic methods of accounting that businesses use to track and report revenues: the cash basis and the accrual basis. Under the accrual basis, revenues are recorded on a company's income ...

The calculation for total manufacturing cost involves a detailed accounting for the costs of materials, labor and overhead. It requires a realistic analysis of a company's various departments to show ...

Managerial accounting, a tool used for business decision-making, allows for different methods of calculating net income. The general formula is that sales minus costs equals net income, but there are ...

Calculate revenue growth by comparing yearly or quarterly revenue, showing business success. Accrual accounting rules may delay cash flow despite showing revenue increases, affecting actual income.