PayTraq Blog

PayTraq.com - Online Accounting Software

Periodic vs. Perpetual Inventory


Before getting ready to sell goods, every entrepreneur should decide for himself what system of inventory his business will be using. Companies may use either the perpetual system or the periodic system to account for inventory.
The choice of the system should be fixed in the company’s accounting policy. Workflow organization, content and frequency of various internal reports, selection of accounting and inventory management software - it all depends on this significant choice.

Periodic inventory system keeps the inventory balance at the same value that it was at the beginning of the accounting period. At the end of period, the inventory balance is adjusted to a physical count.

Under the periodic system, merchandise purchases are recorded in the purchases account, and the inventory account balance is updated only at the end of each accounting period. Thus cost of goods sold account does not exist during the accounting period. The

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Tags: business, accounting, warehousing, inventory

Green Light

In this article, we will focus on the main PayTraq dashboard, financial indicators and methods of their calculation and evaluation.

The main documents used in accounting are the balance sheet and profit and loss statement. These two documents are the basis for analysis and business planning.

First of all, let us explain what a balance sheet and profit and loss calculation are:

A balance sheet is a financial statement that summarizes a company's assets, liabilities and shareholders' equity at a specific point in time. An asset is something that is owned by a company, such as property, equipment, inventories, cash balance and accounts receivable. A liability is a source of funds for a company, includes chartered capital, retained profit and debts.

Profit or loss statement is a summary of income and expenditure items of an enterprise during the accounting period. The profit or loss for the accounting period is a

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Tags: business, financial analysis, accounting

Your business in the cloud


Let’s talk about business.
In fact, any kind of business that ever deals with purchases, sales, inventory or accounting.

If you’re involved in any of those aspects of business, you’ll already know that business management can be a comprehensive task.

Managing all your finances, inventory and accounting using paper or spreadsheets can be a nightmare and eventually you lose control over the situation and have to spend more and more time trying to find the right solution.

What about a computer program to handle all your business operations? One that could provide you with real time operational reports, saving you at least 50 percent of your time?
Sounds complicated, costs a lot of money, you are not sure?

Welcome to PayTraq - dead simple, understandable and effective cloud-based solution, purpose-built for small to medium businesses around the world.

To start with, you don’t need to make

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Tags: business, erp, cloud