Cash-basis or accrual-basis accounting are the most common methods for keeping track of revenue and expenses. Yet, depending on your business model, one approach may be preferable.

Cash and accrual accounting methods are among the most common methods of accounting, according to the IRS. The IRS Publication 538 (01/2022), Accounting Periods and Methods breaks down the two ...

Under the cash accounting method, where revenues and expenses are only recorded if and when cash is actually received or paid, companies can obtain more accurate snapshots of their cash flows.

If cash accounting is used, businesses, such as furniture stores, that sell on credit are often not able to report sales until all the money is actually collected, ...

Cash basis accounting recognizes money as it comes in or goes out. This is the approach most used by small businesses, particularly ones that have tight cash flow or sell good or inventory.

The best accounting tip for a company is to avoid too much debt. Sounds simple, but there is clear data that shows 60% of companies over lever and 90% of companies under stress have some component ...

The National Treasury has issued fresh guidelines to help all government entities transition from cash-based to accrual-based accounting, in line with a 2024 Cabinet directive Treasury PS Chris ...