WHAT IS THE BOOKKEEPING?
Bookkeeping involves recording, storing, retrieving, analyzing and interpreting of financial transactions for a company, nonprofit organization, individual, etc.
Common financial transactions and tasks that are involved in bookkeeping include:
Billing for goods sold or services provided to clients.
Recording receipts from customers.
Providing financial reports.
Processing employees' pay and the related governmental reports.
Monitoring individual accounts receivable.
Paying suppliers.
Recording depreciation and other adjusting entries.
Verifying and recording invoices from suppliers.
A bookkeeper closely works with an accountant who performs legal and tax management for the company. It is the bookkeeper’s duty to produce financial statements that requires the knowledge of debits and credits and a basic understanding of financial accounting.
A competent bookkeeper should be able to produce accurate information of the financial activities of a business through its financial records.
A bookkeeper’s duty is to set up financial statements so that an accountant can easily perform legal and tax management in a timely manner. These financial records are vital to the future success of any business.