What is Capital Surplus? Capital surplus is the additional paid-in excess of par value that investors pay when they are buying shares from the issuing entity. The term is not commonly used because people use additional paid-in capital in the accounting literature. Explanation of Capital Surplus. A par value was originally the price at which… Read More


Job costing involves the accumulation of the costs of materials, labor, and overhead for a specific job or task. It is an invaluable tool for tracing jobs and examining them to see if their costs can be reduced in later jobs. An alternative use would be to determine if any excess costs can be billed… Read More


A chart of accounts is a list of the accounts identified and made available for recording transactions in the general ledger. The company has the flexibility to change the chart of accounts to suit its needs. This allows it to select the best, including adding or removing accounts where needed. Which accounts are used? Within… Read More