Accounting Lessons

Learn Cost Accounting Basics the Easy Way

Lesson 8 in the Basic Accounting series: Cost accounting basics is all about learning how to use different accounting methods to determine the cost of producing your product and then how to use that information to make a profit. That is why cost accounting is often referred to as cost management accounting. As a small business owner […]

Accounts Receivables Accounting

Lesson 9 in the Basic Accounting series Accounts Receivables (AR) are sales made by your small business, but not paid for yet by customers. They are usually in the form of invoices generated by your small business and delivered to your customers for payment in an agreed upon time frame. Accounts Receivables Tips: Many businesses now only

Setting up your Accounts Payable Process

Lesson 10 in the Basic Accounting series The accounts payable process or AP process for small business owners is simply the process of accounting for and paying invoices that your business legitimately owes.  This cash flow process involves logging in an invoice in some type of platform like accounting software, which may come with a fee, such

Sales Tax Accounting

Lesson 11 in the Basic Accounting series This article will refresh those basic accounting concepts and give you examples of small business sales tax accounting journal entries. Since we are basically serving as revenue collection agents for state governments… we should not show collected sales tax as income in our accounting records… nor should they be represented as

Payroll Accounting with Payroll Journal Entry Examples

Lesson 12 in the Basic Accounting series What is Payroll Accounting? Payroll accounting is simply recording the payroll expenses of a business into the general ledger. Payroll accounting for small business owners involves both expense and liabilities accounts such as FICA Taxes Payable, Federal and State Income Tax Payable, Health Insurance Premiums Payable, etc. Accounting for those taxes