What pros and cons of cash flow reporting versus accrual income reporting?© BrainMass Inc. brainmass.com October 24, 2018, 7:17 pm ad1c9bdddf
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Briefly, for accounting purposes, the best method regardless of the type of business (except possibly a doctor) is the accrual-based method.
Cash-based accounting can distort the true operations of your business and incorrectly reflect income. Cash-based accounting recognizes income when money is received. Accrual-based ...
This solution discusses the pros and cons of cash flow reporting versus accrual income reporting.
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