Accrual Basis Accounting

Accrual basis accounting: The accrual method records income items when they are earned and records deductions when expenses are incurred. For a business invoicing for an item sold, or work done, the corresponding amount will appear in the books even though no payment has yet been received (receivable) – and debts owed by the business show as they are incurred, even though they may not be paid until much later (payables). We believe at FinancialSoft this Accrual Basis accounting help companies better manage their cash flow. All of our products use Accrual basis accounting to help companies find hidden cash in their business.