Although cash flows and income statements are different, they have unique qualities. The income statement reports profits in quantifiable terms while categorizing them under three headings: revenues, expenses, and earnings per share (EPS). On the other hand, the statement of cash flows provides a more detailed overview of how changes in liquidity affect your company’s… Continue reading What’s A Balance Sheet?
Tag: Accounting Basics Series
What is Bookkeeping?
What Is Bookkeeping? In a nutshell: What does a bookkeeper do? They work all day long and ensure the company’s finances are balanced by balancing budgets, recording transactions, and analyzing cash flows. The accounting department also calculates important metrics like your business’s gross margin or net profit. Although their jobs might seem dry at first… Continue reading What is Bookkeeping?
Accounting Basics – What You Need to Know!
From the time we’re children, most of us learn to count. In turn, we start saving and spending money as adults to balance our checkbooks and improve our lives! No business, small or large, can avoid accounting basics. The accounting process is essential for any business. What is an accountant, and what do they do?… Continue reading Accounting Basics – What You Need to Know!