Retained earnings are a saved portion of the company's profit that is not paid out to shareholders. Keeping a portion of profit back increases the amount of capital you have to expand your business or ...

A prior period adjustment is the result of a material error discovered in the financial statements of a prior period that have already been published. This error must ...

Companies have always faced a major issue of how to reflect changes in accounting methods and error corrections in financial statements. In 2005 FASB issued Statement ...

Discover the differences, advantages, and drawbacks of single-step vs. multiple-step income statements for better financial analysis.