Category: Bookkeeping

These receivables are typically classified separately from trade receivables as they involve different types of transactions and may have different payment terms or conditions. The company uses this table to track and manage its non-trade receivables, ensuring timely collection and monitoring of the due dates for each debtor. Trade receivables are typically short-term in nature… Continue reading What is the difference between receivables and accounts receivable?

The matching principle requires that expenses be recognized in the same reporting period as the revenue they helped generate. This principle ensures that the financial statements reflect the true cost of doing business by matching expenses to the revenue accrual accounting concepts and examples for business they helped produce. For example, let’s say a company… Continue reading Accrual Accounting: Principles, Types, and Common Mistakes

So he can process and submit your corporate taxes without a moment’s delay. Finally, check out these articles that contain steps to generate and customize your financial reports to see different aspects of your business. If you’re a QuickBooks user and have stumbled across an item called “Opening Balance Equity” in your balance sheet’s equity… Continue reading How to Enter Starting Owners Equity?