Accounts Payable (AP): What They Are and How to Interpret

Accounts Payable (AP): What They Are and How to Interpret

The Basics “Accounts payable” (AP) refers to a company’s short-term debt to its vendors. The term also refers to the AP department that handles the accounts payable process. Accounts payable appears as a liability account on the balance sheet, the associated expense...
Gross Margin: Definition and How to Calculate

Gross Margin: Definition and How to Calculate

The Basics Gross margin is the amount of profit a company has left after deducting the cost of goods sold (COGS) from the revenue generated by selling those goods. It’s expressed as a dollar amount. The gross margin ratio is the percentage of revenue left over after...
Operating Expenses: Definition and Examples

Operating Expenses: Definition and Examples

The Basics Operating expenses (also called OPEX or overhead) are the amount of money a company spends on business operations.  Operating expenses include rent and other fixed costs, as well as variable costs for office supplies, or operating activities such as...
Welcome to Pareto Labs!

Welcome to Pareto Labs!

Pareto Labs officially launched today with the vision of giving everyone access to learn the skills and knowledge that you would get from top tier MBA programs and management consulting firms. Our initial bundle of courses is a business analyst bootcamp, modeled after...