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The Libro de Costos is an old-style accounting book which was brought to the United States by Spanish and Portuguese immigrants in the 19th century. The book is a compilation of all of the financial transactions of a business, arranged by cost and profit margin. Brought to us through highlighter yellowed pages, this ancient text has survived and thrived for centuries for one reason: it makes sense. All of the financial data used in this textbook were organized into rows around an abacus wheel. The various accounting categories are divided into five different cells around the wheel, one for each profit or loss margin. This allows for easy calculation of profit by simply comparing the figures in the five cells around the wheel. This book can make anyone an expert in accounting. It is a time tested way of organizing your financial data which keeps the data in order so that you can easily see your monthly profits and losses when it comes time to pay taxes.The Libro de Costos keeps seven years worth of financial transactions in chronological order with a monthly breakdown, meaning it is perfect for small business owners and entrepreneurs who need to keep their accounts in order on a day-to-day basis. All of the transactions made in the year are included in the book, which allows you to see your monthly revenue and your monthly expenses. Because this book is arranged "by cost" (i.e., by how much it costs to make an item), it is ideal for small businesses with low overhead costs. An entrepreneur or small business owner can create precise financial reports without having to use complex spreadsheets or complicated software packages.The cost categories include money spent for rent, supplies, wages, and other fixed expenses. The rest of the book is divided into separate sections for fixed assets (buildings, vehicles, etc. ); inventory (things you have in stock) and due to other expenses (credits for depreciation of assets, etc.). These transactions are arranged by category, "by cost" so it is easy to calculate your profit or loss. You can compare profits and losses in order to see how much your business is making or losing each month. The starting costs, costs for labor during the year, and cash expenses are all included in the categories by cost. The only thing left out of the calculation book is income from sales.It is important that you keep good records because it will allow you to keep track of your income each month. If you are a small business owner, you can use this book to calculate your profit or loss for each month in order to determine if your business is making money or losing it. With this book, anyone can easily track their sales and expenses each week or month. The goal of the cost book is to generate profits after taking depreciation into account. Depreciation is exactly what it sounds like: \t taking an asset’s value down by subtracting its original price from its current price. This allows owners of assets to deduct the cost of their assets over time so that they can reduce their taxes owed once they file their income tax forms at the end of the year. cfa1e77820
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