10 Basic Accounting Principles & Key Assumptions 2019 GAAP Guide
The revenue recognition principle entails recording the transaction regardless of cash movements. It should be documented in the accounting records and financial statements by the time of the action and deal, not by the period of the cost and revenue entry. By following the revenue recognition principle, you’re pinpointing the financial static rather than the […]
What is accrued revenue? Examples & how to record It
Accumulated depreciation records the amount of the asset’s cost that has been expensed since it was put into use. Accumulated depreciation has a normal credit balance that is subtracted from a Plant and Equipment asset account on the balance sheet. Therefore, accumulated depreciation is a contra-asset account. Contra-asset accounts are asset accounts with a normal […]
What Is Accrual Accounting, and How Does It Work?
Content Why You Can Trust Finance Strategists Reporting sales with accrual accounting Cash-Basis vs Accrual Accounting Cash Basis Method Accrual Method Choosing Between Cash Basis and Accrual Accounting We also allow you to split your payment across 2 separate credit card transactions or send a payment link email to another person on your behalf. If […]