Accounting concepts behind your model
Short definitions of the accounting ideas a CFO+ model relies on, each linked to its lesson in the Academy.
- Leasing versus buying
- Depreciation
- Asset or expense
- Allocating overhead
- Direct and indirect costs
- Normal and abnormal loss
- Cost flow through inventory
- Unit cost
- Revenue recognition
- Revenue over time
- Cost is not expense
- Product costs and period costs
- The matching principle
- The budget
- Accrual basis
- Reading the cash flow
- The cost of an employee
- Principal and interest
- Variance analysis
- Output tax and input tax