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Acting as a consultant in decision making.
Bookkeeping differs from accounting. Bookkeeping does not involve any analysis of the accounting data. Bookkeeping refers mainly to the record keeping aspects of accounting. Keep reading this article is for you.
Bookkeeping is keeping proper records of the financial transactions of an entity. Making financial forecasts and recommending strategies. Bookkeeping and accounting may appear to be the same profession to an untrained eye.
Definition of bookkeeping literally it means the activity of keeping or maintaining financial books i e. While both deal with financial transactions bookkeeping centers on the organization and recording of financial transactions. Bookkeeping means recording a business s finances and accounting means analyzing financial records.
Accounting bookkeeping is a transactional and administrative role that handles the day to day task of recording financial transactions including purchases receipts sales and. Accounting is recording measuring grouping summarising evaluating and reporting of transactions of the entity which are in monetary terms. The bookkeeper typically reports to the accountant.
Bookkeeping is an integral part of accounting and thus it prepares necessary financial information for accounting. Bookkeeping represents a process of recording actual transactions of a business. The accountant has more responsibility than the bookkeeper.
If you want a quick definition here it is. Accounting is more subjective while bookkeeping is more transactional in nature. How to become a bookkeeper at home.
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