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.

Learn what every business owner needs to know about financial accounting, accounting software and financial statements.

Companies finance their operations with a combination of debt and equity. The terms and amounts of these loans and capital contributions affect the health and financial condition of the business. From ...

When companies purchase supplies on account, they have to create several journal entries to record the transaction in their financial statements. These entries change the balance of the fundamental ...