Financial accounting utilizes a series of established principles. The accounting principles used depend on the business's regulatory and reporting requirements. Companie… See more

Balance Sheet
A balance sheetreports a company’s financial position as of a specific date. It lists the company’s assets, liabilities, and equity, and … See more

There are two primary types of financial accounting: the accrual method and the cash method. The main difference between them is the timing in which transactions are recorded.… See more

Financial accounting is dictated by five general, overarching principles that guide companies in how to prepare their financial statements. The type of accounting method should be d… See more

Companies engage in financial accounting for a number of important reasons. 1. Creating a standard set of rules– By delineating a standard set of rules for preparing fi… See more