If one is a professional in the field of accountancy, then it is actually possible for him to put up a firm that would provide bookkeeping and accounting services. Now this type of service is targeted to those businesses who would need a second opinion or a person who could create their financial statements. So if one is in this type of business, then here are the things that one would have to accomplish.
Now one of the main jobs of this type of bookkeeper is to monitor the journal entries that the company would be providing him. Journal entries are extremely important because they would actually monitor the operations of the business on a daily basis. It is for this reason that the contractual accountant has to make sure that the journal entries are done properly so that the creation of the other documents later on will go smoothly.
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.
When that is done, then the company accountant would have to make a trial balance for the preparation of the financial statements. Now in order to save time, it is usually the contractual accountants or bookkeepers who will be doing doing the financial statements for the client. It is because they know how the government would want businesses to present their financial statements.
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.
Now after the creation of the income statement, then they will be creating the statement of changes in equity. Basically, this would be the statement that would show the changes with regard to the capital of the business. It includes the capital, net income, withdrawals, and additional 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.
Now one of the main jobs of this type of bookkeeper is to monitor the journal entries that the company would be providing him. Journal entries are extremely important because they would actually monitor the operations of the business on a daily basis. It is for this reason that the contractual accountant has to make sure that the journal entries are done properly so that the creation of the other documents later on will go smoothly.
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.
When that is done, then the company accountant would have to make a trial balance for the preparation of the financial statements. Now in order to save time, it is usually the contractual accountants or bookkeepers who will be doing doing the financial statements for the client. It is because they know how the government would want businesses to present their financial statements.
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.
Now after the creation of the income statement, then they will be creating the statement of changes in equity. Basically, this would be the statement that would show the changes with regard to the capital of the business. It includes the capital, net income, withdrawals, and additional 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.
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