Month: February 2013

Implement Cost Accounting in Construction – Document Flow System

This is the second article in a series of articles walking the small business contractor step by step in implementing cost accounting in construction.  This article focuses on designing and developing a document flow system for use in cost accounting.   The next step after creating a document flow system is learning how to sort and …

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Implement Cost Accounting in Construction – File Structure

To take the small construction company to the next level of financial success, you must implement cost accounting.   This article is one in a series designed to illustrate how you implement cost accounting in a small construction business.  The first step in this process is design a file structure.  This includes creating a project numbering …

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How to Purchase Equipment for a Restaurant – Business Finesse

restaurant equipment

Purchasing equipment for a restaurant is a daunting task.  There are three phases to successfully purchase restaurant equipment.  The first is planning, see How to Purchase Equipment for a Restaurant – Planning Phase for more information about this phase.  The second is research, go to How to Purchase Equipment for a Restaurant – Research Phase …

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How to Start a Non-Profit Organization: Step 3 – The First Board Meeting

Step three of starting a non-profit organization is gathering the potential board members for the first meeting.  In step one; you formed a brain trust to validate the mission of the non-profit organization.  In step two; you generated a list of potential board members by identifying sources and creating profiles.  In this step, you have …

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The Various Forms of Depreciation

depreciation definition

There are various forms of depreciation used in the small business world.  In general, depreciation is not required but it is advisable.  So a small business owner should understand depreciation and the various forms of how to calculate the deduction.  Once you understand the reasoning behind depreciation you can better comprehend the different methods and …

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How to Purchase Equipment for a Restaurant – Research Phase

Purchasing equipment for a restaurant is a daunting task.  There are three phases to successfully purchase restaurant equipment.  The first is planning, see https://businessecon.org/2013/02/how-to-purchase-equipment-for-a-restaurant-planning-phase/ for more information about this phase.  The second is research.  This article covers this phase of purchasing equipment.  The third in this series is using business finesse to purchase the equipment …

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How to Purchase Equipment for a Restaurant – Planning Phase

Equipment costs for a restaurant can easily consume the gross profit of your business.  The key is to keep the costs low in order to spread the costs appropriately over time.  Purchasing equipment for a restaurant requires planning, researching and using finesse to acquire equipment at the lowest cost possible.  This article is dedicated to …

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How is Cost of Goods Sold in Retail Determined?

Each industry is different in determining costs of goods sold or cost of services rendered.  Retail uses two distinct methods to calculate costs of goods sold.  The first is called ‘Specific Identification’ whereby each item sold is specifically identified to its recorded cost.  The second method is referred to as ‘Inventory Adjustment’ format.  In this …

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Operating Control Reports in Business

A part of any information feedback loop is the operating control reports in business.  Depending on the nature and financial impact involved, these reports can be daily (Daily Operating Controls or DOC), weekly (Weekly Operating Controls or WOC) and/or monthly (Monthly Operating Controls or MOC) in management reporting.  Their value is to inform management of …

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