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Submitted 2014-02-24 20:25:03 Consider the case of a company that manufactures and offers bed linens online. In bookkeeping
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Suppose that in 2009, comforters were produced. In January 2010, a customer positioned an order of these products. The products had been provided in February 2010. When is income recognized? The income is recognized in February.
While you may surmise, in the case of a company that offers services, rather than goods
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Suppose that in January, Wall Treatments Limitless contracts to set up valance table and window curtains to Mrs. Jones windows. The valance board and the curtains were set up in February. Mrs. Williams will pay the price in March. In what month would Wall structure Treatments Unlimited identify revenue? Wall Remedies Limitless would recognize revenue in February.
The fact that revenue is acknowledged at the time it is recognized is known as the realization concept. This realization concept tells us when to identify revenue.
Revenue is realized when a sale is consummated via the shipping of products or services. Because of this, the term "sales" is oftentimes utilized as a synonym for income, and sometimes you will see the phrase "sales income."
As in the situation of costs, revenue may be recognized prior to, throughout or after the time period in which the connected cash receipt drops. To begin with
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Utilizing the exact same instance previously mentioned, in January, Wall Treatments Unlimited set up valance table and window curtains at Mrs. Williams house; Mrs. Williams will pay $100 cash. In maintaining with the double aspect idea, this transaction will have two effects on the accounts of Wall structure Remedies Unlimited. It will alter both sides of the equilibrium sheet - i.e., the assets and the equities.
This deal will affect the Cash item on the resource part of the Wall structure Therapy Unlimited equilibrium page. That is, the subsequent changes would be produced: Cash raises by $100; Owner's Value raises by $100. Author Resource:- For more info
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Article From Article Directory Database 锘? You are ready to spend hundreds of thousands of dollars and make a commitment for 25 35 years of your life based on the advice you receive from your real estate agent With any luck, you will make the right decision. We are very fortunate here in Calgary, Alberta to have a professional regulatory body (RECA) in place, but is that enough to trust virtually anyone with a real estate license? The truth is that there are several levels of quality, business style and most definitely competence.
You should be asking yourself the following questions: does your real estate representative have your best interest at heart? But more importantly, are they even capable of properly representing you? There are some Realtors with the best intentions in the world
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Quite commonly people treat others the way they would want to be treated. How about treating others the way they would like to be treated?
Real estate in general is relatively easy to get into, but very hard to make a living at. Competition in this industry is at its tops. On the Calgary Real Estate Board, there are approximately 5,400 registered Realtors and selling an average of 1,800 2,200 homes a month. This fierce competition to gain the clients sometimes brings the worst out of the agent Some Realtors will do everything in their power to turn you into a client. Obviously this makes sense from a time management point of view because they would hate to be running around with unqualified clients who will just take them away from other important clients or perhaps from their family. But do you believe in love at first sight?
In my experience
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You should very seriously think about what motivates your next real estate agent? Ask them the question why are you in real estate? Are they really in the g.
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