Difference Between Bookkeeping and Accounting
Every business needs to have a bookkeeping and accounting process to prepare the financial records at the end of a year/quarter. In addition, bookkeeping and accounting help the business evaluate its worth and take future decisions.
Bookkeeping – Bookkeeping is the process of maintaining and recording all financial transactions in the original books of entry of a business.
Accounting – Accounting is the process of interpreting, analyzing, summarizing, and reporting the financial transactions of a business. The financial statements prepared in accounting are a precise summary of financial transactions over an accounting period.
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