If one would have a degree in accountancy, then he can actually put up his own firm that would provide bookkeeping and accounting services. Basically, if a business does not have an efficient accountant or bookkeeper, then they could always hire one from a firm that provides this kind of service. For those who are interested in this type of field, here are some things that have to be done.
The first thing that the contractual bookkeeper would do would be to check the current journal entries that the company has already made. Basically, he will be checking if these journal entries would tally the figures that the company would currently show. They will also check if the journal entries are in line with the way that the government would want the companies to do.
Now when one is done checking the journal accounts, then he would have to check the ledger accounts. The ledger accounts are the accounts that would go to the trial balance later on. It is the job of this contractual account to make sure the ledger accounts are ready for the creation of the trial balance which is made next.
Of course after he has already checked all the journal entries and the ledger accounts, then he may make the trial balance. This has to be done before he would make the financial statements as the three financial statements are the most important documents to an accountant. So basically, the contractual accountant would be making these financial statements for the client.
So of course the first thing that these bookkeepers would be doing would be to prepare the income statement. For those who do not know, the income statement is the report that will showcase the income versus the expenses of the company. If the income is more than the expense, then the company has a net income but if it is the other way around, the company has a net loss.
The next financial statement that is made after the income statement would be the equity statement. In a nutshell, this statement is the one that shows how the capital changes over time. Basically, the beginning capital would include the addition of the net income, subtraction of withdrawals, and addition of other investments.
The last financial statement that the accountant will be doing is none other than the balance sheet. The balance sheet is the only financial statement that would contain all of the account titles of the business and would actually show whether the business is doing well or not. Basically, it is a comparison of the assets versus the liabilities and the capital balance.
Upon the creation of the three financial statements, the bookkeeper will now be able to pass them for the auditing process. So basically, these things are the bookkeeping and accounting services that the firm will be providing for private clients. If one has the accounting skills, then he will definitely be able to do a good job here as the tasks that are done will be easy for accounting majors.
The first thing that the contractual bookkeeper would do would be to check the current journal entries that the company has already made. Basically, he will be checking if these journal entries would tally the figures that the company would currently show. They will also check if the journal entries are in line with the way that the government would want the companies to do.
Now when one is done checking the journal accounts, then he would have to check the ledger accounts. The ledger accounts are the accounts that would go to the trial balance later on. It is the job of this contractual account to make sure the ledger accounts are ready for the creation of the trial balance which is made next.
Of course after he has already checked all the journal entries and the ledger accounts, then he may make the trial balance. This has to be done before he would make the financial statements as the three financial statements are the most important documents to an accountant. So basically, the contractual accountant would be making these financial statements for the client.
So of course the first thing that these bookkeepers would be doing would be to prepare the income statement. For those who do not know, the income statement is the report that will showcase the income versus the expenses of the company. If the income is more than the expense, then the company has a net income but if it is the other way around, the company has a net loss.
The next financial statement that is made after the income statement would be the equity statement. In a nutshell, this statement is the one that shows how the capital changes over time. Basically, the beginning capital would include the addition of the net income, subtraction of withdrawals, and addition of other investments.
The last financial statement that the accountant will be doing is none other than the balance sheet. The balance sheet is the only financial statement that would contain all of the account titles of the business and would actually show whether the business is doing well or not. Basically, it is a comparison of the assets versus the liabilities and the capital balance.
Upon the creation of the three financial statements, the bookkeeper will now be able to pass them for the auditing process. So basically, these things are the bookkeeping and accounting services that the firm will be providing for private clients. If one has the accounting skills, then he will definitely be able to do a good job here as the tasks that are done will be easy for accounting majors.
About the Author:
You can visit pbsmanagementservices.org for more helpful information about Providing Bookkeeping And Accounting Services.
No comments:
Post a Comment