Introduction The acquisition cost of inventory is a critical element in accurately measuring a company’s financial position and operating performance. With increasing global supply chain complexity and raw material price volatility in 2024, accurate determination of acquisition costs has become more important than ever. K-IFRS (Korean International Financial Reporting Standards) clearly defines inventory acquisition costs … Read more
Introduction The distinction between direct and indirect costs plays a vital role in financial analysis and decision-making within management accounting. With the recent adoption of K-IFRS (Korean International Financial Reporting Standards), the importance of this cost classification has become even more prominent, as accurate cost information directly impacts a company’s competitiveness and profitability. Through this … Read more
Financial vs Cost vs Management Accounting accounting are essential fields in modern business management. They play crucial roles in measuring a company’s financial position and performance, supporting decision-making processes, and managing costs. Particularly since the adoption of K-IFRS (Korean International Financial Reporting Standards), the importance of these accounting fields has become even more prominent. Through … Read more
Today, we’re diving deep into one of the fundamental principles of accounting: the Principle of Equilibrium, also known as the Accounting Equation. As a financial expert with extensive experience in economics and accounting, I’m excited to guide you through this crucial concept that forms the backbone of modern accounting practices. “The accounting equation is the … Read more