Cash vs Accrual Accounting: Which Is Best for Your Business? When you start or grow a business, one of the most important financial decisions you’ll have to make is choosing between cash and accrual accounting. It impacts how you report income, manage taxes, and evaluate your financial health. In this guide, we’ll discuss the differences,…
The draft financial statements of Haseen’s business for the year ended 31 July 20×0 show a profit of $54,250 prior to the correction of the following errors: What is Haseen’s amended profit for the year ended 31 july 20×2? Answer will be available soon
Question: The non-current asset register shows a carrying amount for non-current assets of $85,600; the ledger accounts include a cost balance of $185,000 and an accumulated depreciation balance of $55,000. Which of the following statements may explain the discrepancy? Answer: In the question, we will find out why there are differences between the two books. In the question,…
Accounting is the systematic presentation of financial events to organizations and stakeholders through the preparation of financial reports, decision-making, and strategic planning. Accounting has been presented in many different ways in the field of study over the decades, and renowned scholars and well-known individuals have adapted and defined accounting in multiple ways. Accounting has been…
Double Entry System: Definition A double entry system is an accounting system where all transactions are recorded in equal amounts on both sides, meaning that if one side is debited, the other side will always have an equal amount credited. The double entry system uses the formula Assets = Liabilities + Equity to record….
