Making a profit in a business is derived from several different areas. It can get a little complicated because just as in our personal lives, business is run on credit as well. Many businesses sell their products to their customers on credit. Accountants use an asset account called accounts receivable to record the total amount owed to the business by its customers who haven't paid the balance in full yet. Much of the time, a business hasn't collected its receivables in full by the end of the fiscal year, especially for such credit sales that could be transacted near the end of the accounting period.
The accountant records the sales revenue and the cost of goods sold for these sales in the year in which the sales were made and the products delivered to the customer. This is called accrual based accounting, which records revenue when sales are made and records expenses when they're incurred as well. When sales are made on credit, the accounts receivable asset account is increased. When cash is received from the customer, then the cash account is increased and the accounts receivable account is decreased.
The cost of goods sold is one of the major expenses of businesses that sell goods, products or services. Even a service involves expenses. It means exactly what it says in that it's the cost that a business pays for the products it sells to customers. A business makes its profit by selling its products at prices high enough to cover the cost of producing them, the costs of running the business, the interest on any money they've borrowed and income taxes, with money left over for profit.
When the business acquires products, the cost of them goes into what's called an inventory asset account. The cost is deducted from the cash account, or added to the accounts payable liability account, depending on whether the business has paid with cash or credit.
Summary:
It's a great pleasure and honor studying, working as well as teaching at some of the prestigious California community colleges. I moved in 1977 across from back east of the country with two suitcases and 300 dollars, to take advantage of the educational system in California in general and of California community colleges—for starters—in particular. Besides being unbelievably affordable at that time it was also extremely reputable as fine preparatory, or transitional, institut...
Keywords:
California community colleges,College of Marin,vocational courses,Bay Area
Article Body:
It's a great pleasure and honor studying, working as well as teaching at some of the prestigious California community colleges. I moved in 1977 across from back east of the country with two suitcases and 300 dollars, to take advantage of the educational system in California in general and of California community colleges—for starters—in particular. Besides being unbelievably affordable at that time it was also extremely reputable as fine preparatory, or transitional, institutions of higher education.During my first semester at College of Marin, for instance, besides buying my texts, I paid only $3.00 for the whole semester. That was for the Health Fee.
California community colleges are not quite so low-priced—though they are still affordable—in recent times, but they are still brilliant first- and second-year colleges and trade/occupational training sites. Those graduating either from the neighboring high schools or returning to college after years away attend courses and programs in almost all of the major disciplines and/or take up vocational courses for example those in the Automotive Mechanics or Cosmetology divisions at almost all of the 72 regions’ California community colleges.
As the Chancellor of the California community colleges reveals in the mission statement (at http://www.cccco.edu/faq_cccco.htm#mission), basic aims of all of the California community colleges are to offer “essential and important functions” such as basic skills instruction, English as a second language (ESL, or, English for speakers of other languages, ESOL) education and practice, adult non-credit instruction, and student and community support services.
While funding is the contingency (and often the bane), some California community colleges engage in outreach, research, and other related projects and programs. They often present a small degree of health services, offer social and academic guidance and support (for honors charters, for instance) and extracurricular access (as, for example, student associations and clubs as well as sports teams).
Despite the fact that I taught and worked at and am thus partial to select California community colleges in the Bay Area (in Northern California), they are some of the best kept secrets all over the state. Below is the list with individual colleges where you can find additional information online by either typing in the name of the college and dot net, or dot cc dot ca, or dot edu:
American River College, Sacramento
Butte College, Oroville
College of San Mateo, San Mateo
Diablo Valley College, Pleasant Hill
East Los Angeles College, Monterey Park
Feather River College, Quincy
Grossmont College, El Cajon
Hartmon College, Salinas
Imperial Valley College, Imperial Valley
Laney College, Oakland
College of Marin, Kentfield
Ohlone College, Fremont
Palomar College, San Marcos
College of the Redwoods, Eureka
Skyline College, San Bruno
Taft College, Taft
Ventura College, Ventura
West Hills College, Coalinga
Yuba College, Marysville
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