Return on equity, or ROE, can be a useful measure of evaluating a company's profitability relative to other businesses. Basically, it tells us how efficiently a company is using its shareholders' ...

Accounting is a comprehensive system for collecting, recording, classifying, summarizing, interpreting, and communicating financial information. It is often referred to as the language of business as ...

A bookkeeping system is merely an established method of tracking income and expenses so that you can readily tell how your business is faring. Although specifics can vary among companies, most adhere ...

Double-entry accounting is the gold standard bookkeeping system for most businesses. It’s a type of bookkeeping where two accounting entries are created for each business transaction. So, each ...

Basic accounting provides information to identify and classify financial transactions. Business owners often need basic accounting skills to manage their company's financial information. Business ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

The return on equity and its more expansive variant, the return on invested capital, measure what a company is making on the capital it has invested in business, and is a measure of business quality.

This article is for educational purposes and does not constitute financial or legal advice. For specific advice applicable to your business, please contact a professional. Accounting and bookkeeping ...

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