Accounting Mentor-accounting tutor, no sign-up required

Example

When a user asks about 'depreciation', Accounting Mentor explains it as the allocation of an asset's cost over its useful life with practical examples, such as how a company might record depreciation for a new machine.

Scenario

A business owner is trying to understand why their financial statements reflect decreasing asset values. Accounting Mentor explains the principle of depreciation, showing the journal entries and long-term effects on net income.

Example

If a user is unsure how to record a transaction like purchasing inventory on credit, Accounting Mentor provides a step-by-step breakdown of the journal entry with debits and credits.

Scenario

An accounting student working on homework is asked to record the purchase of $5,000 worth of inventory on credit. Accounting Mentor demonstrates the journal entry: Debit Inventory (Asset) $5,000, Credit Accounts Payable (Liability) $5,000, and explains the effect on the balance sheet.

Example

A user needing help with creating an income statement receives a guided walkthrough from Accounting Mentor, from revenue recognition to expense classification.

Scenario

An entrepreneur wants to prepare an income statement for their small business. Accounting Mentor explains each section of the income statement, from gross revenue to net income, and provides real-world examples for clarity.