Guide to accounting cap#1

Apuntes

Guide to accounting Section one: Sales and accounts receivable. Topic #1: Records Records are all the documents data created during the process of a project. Basically save you time, money and show if you have numbers. Gives you the information that you need when you need it. A good accounting system have: - Sales: tells you how you been doing, how much cash will be coming and when, find the right market, and provides information that you need of reports (insurance, sale taxes, census bureau, and governmental agencies). - Receivables: money that you don’t receive yet from a project. - Payroll: shows the labor cost by job and provides essential information for payroll tax report and union report. - Checks: list of expenses broken down into categories. - Bank account: to check the balance you currently have into your account. - Cash on hand: cash fund for little expenses coming from day to day. - Equipment records: money you spend on tools, equipment; it’s most likely your largest investment and let you calculate the hourly cost. - Overhead expenses: things considered like uncontrollable, like rent, telephone, utilities, supplies and insurance. - Estimating records: met...