Cash- and accrual-based business accounting are two methods for tracking financial performance. Learn which is right for your business.

Expenses are an unavoidable cost of doing -- and staying in -- business. When a business incurs an expense, there are two accounting methods it may use to record the expense to its books -- the cash ...

Accrual basis accounting is typically the preferred method, but cash basis accounting may work for very small businesses. Many, or all, of the products featured on this page are from our advertising ...

Kelly Main is a Marketing Editor and Writer specializing in digital marketing, online advertising and web design and development. Before joining the team, she was a Content Producer at Fit Small ...

Cash basis accounting records when cash actually changes hands in a transaction, providing a real-time view of your financial position that reflects the actual cash flow of a business or individual.

Daniel Liberto is a journalist with over 10 years of experience working with publications such as the Financial Times, The Independent, and Investors Chronicle. Suzanne is a content marketer, writer, ...

Brex reports T-accounts as essential visual tools in accounting that clarify how transactions impact debits and credits, ensuring balance in financial records.

Discover why operating cash flow is a more reliable metric than net income for assessing financial health and avoiding accounting manipulation risks.

Should a small business use a cash or accrual accounting method? A CPA answers with examples. If you are an entrepreneur or small business owner, it is a good idea to familiarize yourself with both ...