Dividends are typically paid in cash to shareholders- to do this successfully, the company first needs enough cash, as well as high enough retained earnings. Other times, corporations may decide to distribute additional shares of their company’s stock as dividends....

When I was just starting out, I would spend first and ask questions later. I didn’t know there were 3 types of expenses in a budget and I didn’t care. Most expense management software, for example, can automatically categorize expenses....

Fixed cost, along with variable cost, constitutes the total business expense. Variable costs are production expenses that fluctuate depending on a company’s production or sales volume. For example, variable costs decrease when a company’s manufacturing unit produces fewer units and...

A strong balance sheet builds investor and lender confidence in the business. Your financial statements are based on personal judgments and estimates to avoid overstating assets and liabilities. You can maintain accurate financial statements by choosing your accounting conventions and sticking...