Tag's: free service

How should a business with free help or who uses personal equipment for business treat the cost in the accounting records?

Before I answer this question, let us examine the main goal of accounting. Accounting should provide useful information to stakeholders. This information should be useful for taking meaningful actions. This means you have to cost out your business as if nothing is received for free. In the long run, it is going to be impossible to run your business unless you can cover "all" costs. Using wrong cost information will
Learn More