Account reconciliation is a critical accounting procedure used to ensure that balances in financial records correspond with the actual account balances, typically those presented in bank statements. It is essential for maintaining the accuracy and integrity of a company's financial data.
Accounting records are essential documentation that provides a detailed account of financial transactions pertaining to a particular organization, allowing for accurate tracking and analysis of financial performance over time.
Accounting records are the documentation used to prepare, verify, and audit the financial statements of a company. They provide a detailed account of all financial transactions, assets, liabilities, equity, revenues, and expenses.
Adjusting entries are critical for ensuring that financial statements reflect accurate and relevant financial information. They are posted to the accounting records at the end of an accounting period to correct any transactions or events that were not properly recorded during the accounting period.
An audit test designed to provide evidence of the completeness, accuracy, and validity of accounting records and financial statements.
Bank or brokerage house departments not directly involved in selling or trading. The back office sees to accounting records, compliance with government regulations, and communication between branches.
Books of account refer to the ledgers, journals, and other accounting records in which a business records its transactions. These records form the backbone of a company's financial information, ensuring that their financial status can be understood at any time.
Inventory accounting refers to the accounting records and systems used for the ordering, receipt, issuing, and valuation of materials bought by an organization for stock. It includes the recording of entries on bin cards and in the stock ledger as well as the procedures adopted to carry out effective stocktaking.
A purchases journal, also known as a purchase day book, is a specialized accounting record used to track all credit purchases of merchandise for a business.
The purchases ledger, also known as the creditors' ledger, is a detailed accounting record that tracks all the credit purchases a company makes. It manages company liabilities by listing every individual supplier from whom the company buys goods or services on credit.
The sales ledger, also known as the debtors' ledger, is an accounting record that tracks the sales transactions and amounts owed by customers.
Statutory Books, as mandated by the Companies Act, ensure proper accounting records, enabling directors to accurately oversee the financial positioning and transactions of a company.
Audit tests designed to check the completeness, ownership, existence, valuation, and disclosure of the information contained in the accounting records and financial statements of an organization being audited.
