In the accounting world, there are two main ways of preparing your books and financial statements. These two methods are accrual and cash. Although they have some similarities, there are large enough differences between the two to make accrual the most widely used because of its greater accuracy.
For statement purposes, accrual accounting is much more fair and accurate when compared to cash accounting. Read more
Accounting is often a tedious activity that involves book keeping, tax and payroll and balance sheet preparation. The need for accounting is important in any firm and, without it; most of the companies cannot make accurate standing on their financial position and determine their actual profits and losses. It becomes necessary to outsource this task to qualified professionals and accounting firms so that you are able to save time and concentrate on your major line of work. Read more
In Corporate America we have learned that the bottom line is what matters. The first instinct of many business owners when they receive their financial statements is to look at their bottom line, their profit. But what information can your top line, your sales figures, give you?
Paul J. Lim states in Why Sales Matter More Than Profits, “Forget that profits can always be touched up to make things appear brighter than they really are. Read more
A business should produce accounting information, in the way of the year end financial statements and other financial data, because there are various groups of individuals who require this information so as to make decisions. The needs and objectives of these groups are often different, so what might be useful information for one group may be of no use to another. Read more