What is the meaning of Cash Accounting?

Cash accounting is a process of accounting where the recording of receipts is done when they are received and the expenses are recorded when the money is actually paid. Thus, transactions are recorded when they take place in practice. It is more useful for small companies and businesses involved in the service sector as it

What is ‘Accrual Accounting’?

Accrual Accounting is a technique of accounting in which transactions viz. revenue and expenses are recorded as and when they are incurred irrespective of when the cash is exchanged. This is highly significant in the assessment of the health of any organisation. This is useful in businesses where many credit transactions or even goods and