In deciding how to keep the books for your business, you have two options: cash-basis accounting or accrual-basis accounting. The difference between them boils down to timing -- specifically, when you ...

Kelly Main is a Marketing Editor and Writer specializing in digital marketing, online advertising and web design and development. Before joining the team, she was a Content Producer at Fit Small ...

There are two basic methods of accounting that businesses use to track and report revenues: the cash basis and the accrual basis. Under the accrual basis, revenues are recorded on a company's income ...

Cash basis is an accounting procedure that recognizes revenues when cash is received and incurs expenses when payments are made. This mode of accounting does not subscribe to the accrual principle -- ...

This guide was reviewed by a Business News Daily editor to ensure it provides comprehensive and accurate information to aid your buying decision. When business owners spend money, they expect results.

The number of countries reporting their financial positions on an accrual basis is expected to increase from 37 to 98 by 2023, jumping from 25 percent to 65 percent, according to a new report. The ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Charlene Rhinehart is a CPA , CFE, chair of ...

Accruals in accounting are income earned and revenue incurred that are recorded as transactions occur, rather than upon completion of payment or delivery. Accruals are the basis of the accrual method ...

This article discusses a Tax Court decision, recently affirmed by the Court of Appeals for the Ninth Circuit, concerning when the “all events” test for the accrual of expenses for tax purposes is met.

Using standard accounting methods benefits any small business. For those looking to level up their financial reporting, adopting generally accepted accounting principles (GAAP) can unlock new ...