Bookkeeping

Formally reported data must be fact-based and dependent on clear, concrete numbers. Businesses can still engage in speculation and forecasting, of course, but they cannot add this information to formal financial statements. Accounting principles help hold a company’s financial reporting to clear and regulated standards.… Lue lisää »Matching Principle Understanding How Matching Principle Works

Lower payout ratios should indicate more sustainable dividends—or a low payout ratio could mean that a company needs to increase its dividend. A payout ratio over 100% indicates a company is returning more money to shareholders than it is earning, and it may need to… Lue lisää »Dividends: Definition, How They Work and How They Pay Out