In this blog, we will explore salvage value and residual value, how they differ, and an example of how this comes into play when considering tangible assets. What is salvage and residual value? Salvage value is the estimated worth of an asset at the end of that...
CONTENT BY
Taylor Guthrie, Technical Accounting Consultant
Taylor Guthrie is an Accounting Manager at FinQuery. Prior to FinQuery, Taylor earned a Bachelor's degree in accounting from Lynchburg College and then transitioned to a public auditor role at Brown Edwards.
As a former audit senior, he assisted in the audits of various entities in various niches. This background includes implementation and maintenance of ASC 842, GASB 87, and GASB 96. Today Taylor helps FinQuery's customers understand and implement the new lease standards as well as navigate intricacies of the software.
As a former audit senior, he assisted in the audits of various entities in various niches. This background includes implementation and maintenance of ASC 842, GASB 87, and GASB 96. Today Taylor helps FinQuery's customers understand and implement the new lease standards as well as navigate intricacies of the software.
Accrual Accounting Explained with Examples, Journal Entries, Applications, & More
1. What is accrual accounting?2. Key components of accrual accounting Prepaid expenses Accruals Deferrals 3. Cash basis vs. accrual basis accounting Cash basis accounting Accrual basis accounting 4. Benefits of accrual accounting5. Challenges of accrual accounting6....
Asset Capitalization Accounting Explained with Examples and Journal Entries
1. What is capitalization in accounting? How assets are capitalized 2. Example 1: Fixed asset capitalization Acquisition and capitalization Depreciation: Accounting for value decline Journal entries 3. Example 2: Finance lease right-of-use asset capitalization...
GASB 87 vs ASC 842 Explained: Five Differences from a Lessee’s Perspective
There has been a lot of material in the marketplace about lease standards and the differences across industries and jurisdictions. Up until this point, the majority of this has been individually focused on ASC 842 for FASB compliance and GASB 87 for those reporting...
Deferred Expenses Explained with a Full Example & Journal Entries
A deferred expense is a term you probably haven’t heard, but have likely seen in practice. Deferred expenses are categorized as a type of deferral, which is defined as, “the accounting process of recognizing a liability resulting from a current cash receipt or an...
Prepaid Insurance Accounting Explained: A Step-by-Step Guide with Examples and Journal Entries
Prepaid insurance is a standard and recurring item on the balance sheet for the vast majority of businesses, making it one of the most common types of prepaid asset. Examples include business owners insurance, worker’s compensation insurance, and cyber liability...
Practical Expedients for FRS 102: What the Update Means for Businesses in the UK and Republic of Ireland
In March 2024, the Financial Reporting Council (FRC) published the most significant revision to FRS 102 since its inception. The update, effective for accounting periods beginning on or after January 1, 2026, introduces a single accounting model for lease accounting...