Cash vs. Accrual Accounting
There are two different underlying methods that can be used in an accounting system: cash-basis accounting and accrual-basis accounting. Under GAAP (Generally Accepted Accounting Principles), only accrual-basis accounting is allowed for producing financial statements due to something called the revenue-matching principle, which I will explain shortly. First, let’s take a look at the difference between… more
Teach Yourself Basic Accounting with Accounting Coach
If you are planning on going into professional accounting as a career, you are going to need an Associate’s Degree in accounting at a minimum. The responsibility placed on an accountant for even a very small business is just too important for an employer to hire someone without formal training and a credential of competency.… more
