09. What is the cash or accruals basis of accounting? 

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7 December 2023

Cash basis records only transactions that have been received or paid through the bank account. Companies are not permitted to use the cash basis of accounting. Accruals basis records income in the accounting period it is earned, even if not invoiced or paid for. Expenses are recorded in the period incurred even if the company […]

faq :

Cash basis records only transactions that have been received or paid through the bank account. Companies are not permitted to use the cash basis of accounting. Accruals basis records income in the accounting period it is earned, even if not invoiced or paid for. Expenses are recorded in the period incurred even if the company has not received an invoice or paid for this expense.

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