Accrual basis accounting is a method of accounting that records transactions when they occur, not when cash is received or paid out. The accrual method of accounting is used to recognize revenue and expenses in the fiscal year they are earned or incurred. […]
Tag: tax planning
Cash Method of Accounting
Cash basis accounting is a method of accounting that records income when cash is received and expenses when they are paid. It is also known as the cash method of accounting. The cash basis of accounting is usually followed by individuals and small companies. […]
