Depreciation: Definition, Calculation and Examples When we speak to many analysts, they say that depreciation isn’t a cash expense. True. It is subjective: somewhat true. It is based on accounting estimates, mostly the estimated time over which an asset will remain useful to the business. Despite these observations, depreciation a very important element

Net Cash Flow: Definitions, Formula and Examples You must have heard the adage that circulates the world of finance…… Cash is King! Of course, the follow-on tag is “…. but Tax is Emperor!”, but let’s not go there. What analysts love about cash, is that cash is cash is cash.  You can’t change

Types of Assets in Finance In the world of finance and accounting, assets play a crucial role in determining the financial health and value of an organisation. Assets are the resources controlled by a company and they are usually 100% owned but need not be!  There are many different categories of assets -

Guide to Financial Statements Financial Statements are the single most valuable source of financial information on a business – providing valuable insights into a company's financial health and performance. As a manager, investor, shareholder, employee, supplier, customer, government, or a creditor, having the ability to analyse and interpret financial statements is a critical

Variable costs represent a critical component of financial analysis and business decision making. By understanding how to calculate and analyse variable costs, companies can properly budget, price products and services competitively, and comprehend their cost structure. What is a Variable Cost? A Variable Cost is a corporate expense that changes in proportion with activity -