The word bookkeeping comes from the time before IT and financial systems when you kept accounts in a general ledger. Here you could always look up to get an overview of the company's balance sheet or result.
Today, people post in an accounting program also called an accounting program where they can print a report on the result, the balance sheet, and much more. If your company has few entries, you can also post in, for example, Excel.
There are no special requirements for accounting programs. However, if you do not use a standard system, there must be a description of the program you use in your business. economic is characterized as a standard system.
The accounting must be adjusted in accordance with the Accounting Act. Read about the Accounting Act under legal information.
Posting is, in effect, keeping track of how much you owe, how much you owe, and what your company's value is (inventory, inventory, etc.).
It is important that the bookkeeping is in order, as it is documentation of the company's activities. If there is a large disorder in the bookkeeping and it is not true at all, then the auditor may choose to write it as supplementary information or a reservation in the financial statements, which may, for example, influence the bank not to lend you money.
You may visit here to hire a Bookkeeper Bookkeeping Services Ajax
When you post in practice, you use debit and credit. This method is called double-entry bookkeeping and means that for every entry you make, there is a counter-entry. This way, you are always sure that there is a balance in your accounts.
Examples of bookkeeping
How you will conduct your bookkeeping in practice is entirely up to you as a business owner. Here we have just made some examples of how you can do that.
When you send an invoice to a customer, you debit the customer and credit to the current account. When the customer then pays, you credit the customer's account and debit the bank - then the result on the customer's account becomes zero, and the amount is now registered under the current account and the bank.
The same goes for vendor invoices. Here you credit the creditor in question and debit to the account in the income statement that belongs to the service/item you have purchased. Once the creditor invoice has been paid, you debit the amount to the creditor and credit it to the bank.
You can also have postings that do not require as much accounting, for example, if you have bought ice cream for your staff and therefore have expenses on this. This is debited to the account for staff costs and credited to the bank.
Bookkeeping today
Today, people post in an accounting program also called an accounting program where they can print a report on the result, the balance sheet, and much more. If your company has few entries, you can also post in, for example, Excel.
Accounting program requirements
There are no special requirements for accounting programs. However, if you do not use a standard system, there must be a description of the program you use in your business. economic is characterized as a standard system.
The accounting must be adjusted in accordance with the Accounting Act. Read about the Accounting Act under legal information.
Why post?
Posting is, in effect, keeping track of how much you owe, how much you owe, and what your company's value is (inventory, inventory, etc.).
It is important that the bookkeeping is in order, as it is documentation of the company's activities. If there is a large disorder in the bookkeeping and it is not true at all, then the auditor may choose to write it as supplementary information or a reservation in the financial statements, which may, for example, influence the bank not to lend you money.
You may visit here to hire a Bookkeeper Bookkeeping Services Ajax
Debit and credit
When you post in practice, you use debit and credit. This method is called double-entry bookkeeping and means that for every entry you make, there is a counter-entry. This way, you are always sure that there is a balance in your accounts.
Examples of bookkeeping
How you will conduct your bookkeeping in practice is entirely up to you as a business owner. Here we have just made some examples of how you can do that.
Examples:
When you send an invoice to a customer, you debit the customer and credit to the current account. When the customer then pays, you credit the customer's account and debit the bank - then the result on the customer's account becomes zero, and the amount is now registered under the current account and the bank.
The same goes for vendor invoices. Here you credit the creditor in question and debit to the account in the income statement that belongs to the service/item you have purchased. Once the creditor invoice has been paid, you debit the amount to the creditor and credit it to the bank.
You can also have postings that do not require as much accounting, for example, if you have bought ice cream for your staff and therefore have expenses on this. This is debited to the account for staff costs and credited to the bank.
Comments
Post a Comment