What is a Cash Receipts Journal? A cash receipts journal is a financial record that tracks all incoming cash transactions for a business. This journal is essential for businesses as it allows them to keep an accurate record of all cash receipts, inc…
What is Cash Disbursement Journal? A cash disbursement journal is a record of all cash payments made by a company. It includes information such as the date, payee, and purpose of the payment, as well as the amount disbursed. Maintaining an accurate …
Introduction: In this article, we will be discussing the concept of cash conversion cycle (CCC). As a business owner or manager, it is important to understand the CCC and how it affects your company's cash flow. In this comprehensive guide, we w…
What is a Cash Book? A cash book is a financial record that tracks all cash inflows and outflows in a business. It can be maintained manually or electronically and is used to keep track of all cash transactions. The cash book is divided into two sec…
At its core, accounting is the process of recording and summarizing financial transactions to help businesses make informed decisions. There are two main methods of accounting: cash basis accounting and accrual basis accounting. Each method has its …
In the world of accounting, there are two methods used to record financial transactions: the cash basis and the accrual basis. In this article, we will explore the cash basis of accounting, including what it is, how it works, its advantages and disa…
Cash accounting is a popular accounting method that many businesses use to keep track of their financial transactions. It is a simple method where businesses record their transactions when they receive or pay cash. This article is aimed at explainin…
What are Capital Receipts? Capital receipts are a type of financial transaction that refers to the inflow of funds resulting from activities outside the regular course of business operations. In contrast to revenue receipts, which are generated from…
What is the Basis of Accounting? Accounting is the process of recording, classifying, and summarizing financial transactions to provide information that is useful in making business decisions. The basis of accounting refers to the method used to rec…
Introduction to Accounting Basics Accounting is a fundamental aspect of running a successful business. It involves the systematic recording and reporting of financial transactions that provide a comprehensive picture of a company's financial per…
What are Accounting Principals? Accounting principles refer to the set of guidelines and standards that companies follow when preparing their financial statements. These principles provide a common basis for how financial information should be recor…
What is the Basic Accounting Formula? Accounting formulas are the basic tools that accountants use to record, classify, and summarize financial transactions. They provide a framework for understanding the relationships between a company's assets…
What are the Basic Accounting Concepts? Accounting concepts are the fundamental ideas and assumptions that underlie financial accounting and reporting. They provide a basis for consistent and accurate financial reporting, and help ensure that financ…
What is the Accounting Equation? An equation that shows the relationship between Assets, Liabilities, and Owner's Equity is known as the accounting equation. The left side of the equal sign shows the assets and the right side of the equation sh…
Accounting Adjustments What are Accounting Adjustments? Accounting adjustments are the business transactions that are recorded after the reporting period. Adjusting entries are made after the accounting period to make sure all the pieces of informat…
What is accounting? Accounting is recording, summarising, and sorting transactions and presenting them to related stakeholders. Accounting is also a field of education that teaches us how to perform all these tasks. Accounting of a small company can…
Account Title What is an Account Title? Account title is a name that makes an account identifiable among thousands of accounts in a chart of accounts. In a chart of accounts, every account is specified with an identical name so that every transactio…
Account Reconciliation What is an Account Reconciliation? Account reconciliation is the process of cross-checking accounts. Account reconciliation is mostly related to bank reconciliation. Every month bank statement should be reconciled with the cas…
Account Balance What is an Account Balance? An account balance is the total of all the numbers in an account. If an account increases we add that to the balance and if decreases we deduct that from the account balance. Account balance can be done in…
Account Analysis What is Account Analysis? Account analysis is the examination of the accounts specially the accounts that are related to the balance sheet. Without proper examination, the fault will lead to a bigger mismatch in the future. A compa…
