Luis Alvarez / Getty Images Accounting principles are rules that companies must follow when they report their financial data. These guidelines ensure that the data reported is complete ...
This is because company A has to pay company B. Under the accounting (Accrual) methodology, this will be treated as a sale even though money has not exchanged hands yet. The accounts department needs ...
Definition: Cash accounting is the methodology under which transactions are recorded when they actually happen. For example, income will be recorded when the company receives cash and expenses are ...