Recording of Transactions
Once we sort, analyze, and record a client’s submitted documents, we ensure that pertinent details such as dates, names, amounts, and descriptions are correctly encoded. A smooth flow of bookkeeping and accounting is guaranteed to provide accurate results for recording. Initially, most clients start with the manual books of account.
Depending on the registered books of account of the Clients, we assist them in updating the said books. There are some cases in which clients overlook this requirement, thus, allowing us to rectify this on their behalf. In compliance with BIR requirements, we submit these books of accounts for the Clients:
Businesses divide cashbooks into two. They are called Cash Receipts Book and Cash Disbursements Book. A cash receipt book refers to a particular section inside a general journal. It is used to record all transactions and the total amount they’ve earned over time, while a cash disbursement book refers to the records of all financial expenses made by the client before being listed in the general ledger.
- General Journal
The central journal contains all recorded company transactions for the entire year. Accountants refer to this as the “Book of Original Entry.” Listed in the General Journal are deals or arrangements not found from other unique journals and accounting books.
- Purchases Journal
Purchase Journals contains company transactions conducted in either credit or account. If you purchase multiple products, they reflect as a single journal entry. Items such as office supplies bought in bulk and services availed are listed in a Purchases Journal.
- Sales Journal
A sales journal contains all of the sales transactions conducted by the company. Inventory and other merchandise sales not belonging to General Ledger are listed here to avoid confusion.
- General Ledger
A general ledger contains the financial statements of the company. All transactions conducted by the company together with the assets and liabilities, revenue, receivables, and expenses are listed here.