Accounting Articles

Learn all about the most important accounting principles and concepts.

Revenue Recognition Principle

What is the revenue recognition principle? The revenue recognition principle dictates the process and timing of which revenue is recorded and recognized an item in the financial statements. Theoretically, there are multiple points in time at which revenue could be recognized by companies, and generally speaking, as revenue is recognized earlier, it is said to...

Three Financial Statements

What are the three financial statements? The three financial statements are: (1) the Income Statement, (2) the Balance Sheet, and (3) the Cash Flow Statement. The 3 core statements are intricately linked to each other and this guide will explain how they all fit together.     Overview of the three financial statements: #1 Income...

T Accounts Guide

What are T Accounts? If you want a career in accounting, T Accounts will be your new best friend. A T Account is a visual representation of individual accounts that looks like a “T” so that all additions and subtractions to the account can be easily tracked. Each separate account will have its own individual...

Journal Entries Guide

What are Journal Entries in accounting? In accounting careers, journal entries are by far one of the most important skills to master. Without proper journal entries, companies’ financial statements would be inaccurate and a complete mess. An easy way to understand journal entries is to think of Isaac Newton’s third law of motion, which states...

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