Category: Bookkeeping

  • Real Accounts vs Nominal Accounts: Definition, Differences & Examples

    The expenses and losses of business transactions are debited, and the gains and profits of business are credited. A real account is an account where the closing balance of the accounts in a particular accounting automatically becomes the opening balance of the next accounting year. A real account is different from other accounts like a…

  • Allowance For Doubtful Accounts Definition & How to Calculate it

    Get instant access to video lessons taught by experienced investment bankers. Learn financial statement modeling, DCF, M&A, LBO, Comps and Excel shortcuts. In this way, the historical cost, the amount of write-off, and the book value of an asset can always be seen on the balance sheet. Although they all aim at reducing the balance…

  • What Is Bookkeeping? Duties, Pay, and How to Become a Bookkeeper

    Accountants are more specialized, so not every company has an in-house accountant. You can use a firm or work with accounting software for your business needs. Bookkeeping is the recording phase while accounting is concerned with the summarizing phase of an accounting system. Bookkeeping provides necessary data for accounting and accounting starts where bookkeeping ends. Balance sheet accounts…