Allowance for Doubtful Accounts: Keep Accounts Receivable Honest
The allowance for doubtful accounts estimates uncollectible receivables. Learn the aging and percentage-of-sales methods, plus how write-offs keep accounts
Mike Thrift
Marketing Manager
ASC 815 Hedge Accounting for Private Companies: Document Swaps and Forwards Without Wrecking Earnings
ASC 815 requires derivatives to be marked to market through earnings unless you elect hedge accounting at inception. A guide to the three hedge models, the simplified approach for private companies, and the documentation mistakes that turn a clean economic hedge into quarterly earnings volatility.
Asset Retirement Obligations Under ASC 410: How Operators Record the Future Cost of Restoring a Site at Day One
ASC 410-20 requires recording an ARO on day one—when drilling, erecting, or build-out finishes.
Bank Reconciliation Done Right: The Monthly Process That Catches Errors and Fraud Early
A monthly bank reconciliation done in 30 to 90 minutes is the cheapest fraud control a small business has. This guide walks through the two-column worksheet, how to handle outstanding checks and deposits in transit, the recurring items that trip people up, and the internal controls that turn the exercise into real protection.
Break-Even Analysis: How Many Units Must a Small Business Sell to Profit?
Break-even point in units equals total fixed costs divided by contribution margin per unit. This guide shows how to separate fixed and variable costs, compute contribution margin, find your break-even sales volume, and measure margin of safety.
Break-Even Analysis and Contribution Margin: The Formula Every Small Business Should Run Monthly
Calculate your break-even point using the contribution margin formula, covering fixed and variable costs, margin of safety, and multi-product pricing scenarios.
How to Design a Chart of Accounts That Tells You Something
A bloated chart of accounts with 200 entries hides profit instead of revealing it. Most small businesses need 30 to 60 accounts, numbered in family blocks with gaps, with COGS separated from operating expenses and departments tracked as dimensions rather than duplicated accounts.
Designing a Chart of Accounts That Actually Tells You Something
A practical guide to designing a chart of accounts that produces useful financial statements — how to number accounts in increments of 10, when to use sub-accounts versus dimensions for locations and departments, and the year-end cleanup ritual that prevents bloat.
The Construction WIP Schedule: Percentage-of-Completion Accounting Under ASC 606
How construction contractors use the work-in-progress schedule and ASC 606 percentage-of-completion accounting to surface overbillings, underbillings, profit fade, and the financial signals sureties and banks actually read.
Constructive Receipt and the December 31 Check: Why 'I Didn't Cash It' Won't Save You at Tax Time
A practical guide to the constructive receipt doctrine under Treasury Reg. 1.451-2 — what counts as income in the year you got the check, what doesn't, and which year-end deferral moves actually survive an audit.
De Minimis Safe Harbor: How Small Businesses Expense Equipment Up to $2,500 Without Depreciation
A small business with a written capitalization policy dated before the tax year begins and an annual election attached to its return can deduct tangible property up to $2,500 per item or invoice ($5,000 with an applicable financial statement) under Treas. Reg. §1.263(a)-1(f), skipping depreciation schedules entirely.
From Three Weeks to Five Days: A Faster Month-End Close With Cut-Off Discipline and Smarter Reconciliations
A day-by-day close calendar that compresses a typical three-week month-end into five business days. Pre-stage recurring entries, reconcile cash on day one, tie sub-ledgers on day two, post accruals and prepaids on day three, run flux analysis on day four, and lock the period on day five.