Accounting Basics
Accounting gives you a structured view of what your business owns, owes, earns, and spends. It complements operational reports by organizing financial activity into balanced records.
Accounting is available with Partner and Team.
What You Can Review
Open Accounting from the Finance section to choose a date range and review the following information.
- Trial Balance shows the balance of each account and confirms that total debits and credits agree.
- Income Statement shows recognized revenue, expenses, and net income for the period.
- Balance Sheet shows assets, liabilities, equity, and current earnings.
- Journal Entries show the dated financial events behind the statements.
Starting Accounting
Before accounting starts, choose a start date, fiscal year start month, and confirmed opening balances. Review these values carefully because future financial activity builds on them.
Recognizing Revenue
Receiving payment and earning revenue are not always the same event. When invoiced work has been fulfilled, use Recognize Revenue on the invoice to move the eligible amount into recognized revenue.
Closing a Period
Close a period after its records have been reviewed. A closed period protects completed reporting by preventing new financial activity from being posted into those dates.
Accounting and Operational Reports
Reports focus on day to day collections, expenses, invoice balances, and activity. Accounting statements focus on recognized revenue, assets, liabilities, and balanced entries. Use the view that matches the question you are answering.
Opening balances, revenue recognition, and period closing affect financial statements. Confirm the figures and dates with your accounting records before saving them.