Accounts Specialist

Account receivables refer to the outstanding invoices or money which is yet to be paid by your customers. Until it is paid, such invoices or money is accounted as accounts receivables. Also known as bills receivables. You need cash all the time to keep your business running smoothly and ensuring the accounts receivables are paid on time is essential to  manage cash flow efficiently . It’s often said that ‘’if your customer owes you a hundred thousand, they have a problem, but if they owe you a million then it’s your problem ’’ . The first part of the above saying implies that your customer not paying a few hundred is an exception which is due to the inability of the customer to pay you back. But the next part of the statement sounds risky to the business. It clearly highlights the inefficiencies of business in managing the accounts receivables of your customer which has led to the pile-up of receivables. As you know, accounts receivables are one of the key sources of cash inflow, a...

Any business, irrespective of the size needs to be organised to achieve its goal, whatever it maybe. A well-structured firm has more chances to achieve success and sustain for a prolonged period in the market as compared to a disorganised business. Each department needs to be tracked and analysed on a timely basis so that various business decisions can be taken appropriately. Since most businesses are a part of an ever-changing environment, it is crucial to roll and embrace the changes. And if you want to be a part of such rapidly changing scenario, it is imperative to manage all business activities rigorously. As a part of staying afloat in a competitive space, the need of managing business reports arises. Businesses may gather financial, marketing and sales-related information, or more technical data; a business report sample will be your all-time assistance to adjust purchasing plans, staffing schedules, and more generally, communicating your ideas in the business environment. These...

Introduction to accounting principles Accounting is an integral part of every business regardless of business size. With modern day business requirements, business and accounting are simply inseparable. By recording all the financial transaction, accounting helps in determining the financial performance of the business by preparing  financial statements . These financial statements are used by both internal stakeholders as well as external like investors, tax authorities, regulators, banks etc. Now imagine, if each business prepares the financial statement in their own way, we all will have hundreds of thousands of financial statements formats trying to convey the same information. This becomes practically impossible for a business compare and read the other companies’ statements. As a result, financial data becomes unusable. Here is why Accounting principles helps to bridge the gap and aims to bring some level of uniformity in financial reporting. Meaning and definition of account...

What Do We Mean When We Talk About Usage of Shortcut Keys in Tally.ERP 9? By shortcut keys, the attention is drawn to keyboard Shortcut keys as Tally software uses the keyboard functions to operate, journalize, and report the financial statements prepared for the users to interpret and to take decisions on the financial statements. Keyboard shortcut key is a set of one or more key that helps to activate a function without the use of mouse. Short cuts invoke a command in tally software as an alternative to mouse clicks or contentious use of Enter Key. In Tally.ERP 9 there are shortcuts for almost all functions. This means that you can use tally software without touching mouse, which will help you in faster data entry, easy navigation, easy report viewing, easy printing, export-import of data etc. How to Categorize the Shortcut Keys in Tally.ERP 9? In  Tally.ERP 9 , shortcuts are organized in such a way that even a newbie user can easily find out  by a glance on the screen. The ...

Steps to prepare trial balance Step-1 Debit and Credit Rule The rules of debit and credit are as follows. One just needs to remember these rules to record all the transactions in the books of accounts. Debit the account when the assets/expenses increase, and the liabilities/revenues decrease. Credit the account when the assets/expenses decrease, and the liabilities/revenues increase. Step-2 Journal Entry In the journal entry system, one just needs to record the debit and credit accounts in proper order. For example, cash is introduced into the business in form of cash. Going by the debit credit rule we will arrive the following result: The transaction or the dual aspect involved Type of account Effect Rule of Debit and Credit Cash Asset Account Asset increases Debit the account ( when expense/ asset increases ) Capital Liability Account Liability Increases Credit the account ( when liability/revenue increases ) The journal entry will be as follows : Cash A/c (Dr) xxx To Capital A/c (Cr...

A  trial balance  is a conglomerate of or list of debit and credit balances extracted from various accounts in the ledger including cash and bank balances from cash book. The rule to prepare trial balance is that the total of the debit balances and credit balances extracted from the ledger must tally. Because every transaction has a dual effect with each debit having a corresponding credit and vice versa. Therefore, at the end of the accounting period or at the end of each month, the balances of the  ledger accounts  are extracted, and trial balance is prepared to test as to if the total debits are equal to total credits or not. Rules to prepare the Trial balance The rule to prepare the Trial balance is an equation which is as follows: Total Debit Entries = Total Credit Entries Debit Credit All Assets ( Cash in hand, Cash at Bank,  Inventory , Land and Building, Plant and Machinery etc., ) Sundry Debtors Expenses ( Carriage Inward, Freight, Rents, rebates and ra...