Authentication, authorization, and accounting (AAA) is a term for a framework for intelligently controlling access to computer resources, enforcing policies, auditing usage, and providing the information necessary to bill for services. Following authentication, a user must gain authorization for doing certain tasks.

Techopedia Explains Authentication Authorization and Accounting (AAA) Authentication refers to unique identifying information from each system user, generally in the form of a username and password. Examples of AAA protocols include: Diameter, a successor to Remote Authentication Dial-In User Service (RADIUS)

Accounting records are key sources of information and evidence used to prepare, verify and/or audit the financial statements. They also include documentation to prove asset ownership for creation of liabilities and proof of monetary and non monetary transactions.

Accounting records include records of assets and liabilities, monetary transactions, ledgers, journals, and any supporting documents such as checks and invoices.

The preparation of financial statements includes the following steps (the exact order may vary by company).

1. Step 1: Verify Receipt of Supplier Invoices.
2. Step 2: Verify Issuance of Customer Invoices.
3. Step 3: Accrue Unpaid Wages.
4. Step 4: Calculate Depreciation.
5. Step 5: Value Inventory.
6. Step 6: Reconcile Bank Accounts.

A record of the assets and liabilities of the company. Where the company’s business involves dealing in goods, the accounting records must enable the company to establish the statement of stock at the end of each financial year end including the stock taking records.

One of the biggest limitations of accounting is that it cannot measure things/events that do not have a monetary value. If a certain factor, no matter how important, cannot be expressed in money it finds no place in accounting.

Examples of internal users are owners, managers, and employees. External users are people outside the business entity (organization) who use accounting information. Examples of external users are suppliers, banks, customers, investors, potential investors, and tax authorities.

The two main accounting methods are cash accounting and accrual accounting.

The Double and Single Entry Method. Bookkeeping is one of the most important processes in the accounting cycle. It is also one of the most commonly availed accounting services. In layman’s term, it is the process in which the transactions, both income and expenses, of a business is recorded in the books of the company.

The are three accounting methods:

• Cash Basis.
• Accrual Basis.
• Hybrid Method.

Here are 10 basic types of bookkeeping accounts for a small business:

• Cash. It doesn’t get more basic than this.
• Accounts Receivable.
• Inventory.
• Accounts Payable.
• Loans Payable.
• Sales.
• Purchases.
• Payroll Expenses.

Bookkeeper Synonyms – WordHippo Thesaurus….What is another word for bookkeeper?

They assume that keeping a company’s books and preparing its financial statements and tax reports are all part of bookkeeping. For example, a person with little bookkeeping training can use the accounting software to record vendor invoices, prepare sales invoices, etc.

The process of bookkeeping involves four basic steps: 1) analyzing financial transactions and assigning them to specific accounts; 2) writing original journal entries that credit and debit the appropriate accounts; 3) posting entries to ledger accounts; and 4) adjusting entries at the end of each accounting period.

Examples of transactions are as follows: Paying a supplier for services rendered or goods delivered. Paying a seller with cash and a note in order to obtain ownership of a property formerly owned by the seller. Paying an employee for hours worked.

A lot of people ask, “What is the difference between bookkeeping and accounting?” The concise answer is that bookkeeping involves the recording of data and financial information while accounting involves analyzing, classifying and interpreting this data.

The main difference between the trial balance and a balance sheet is that the trial balance lists the ending balance for every account, while the balance sheet may aggregate many ending account balances into each line item. The balance sheet is part of the core group of financial statements.

According to PayScale, the average salary for a bookkeeper is $41, 244 while for accountants the average is $50, 420. Because of their additional education and certifications, accountants typically make a higher salary than bookkeepers.