Accounting 101/2 - A good chart of accounts. How does it help me?

If you analyze carefully the previous blog graph, you shall see that your books are divided in Two large groups of accounts: the ones pertaining to the Balance Sheet and the ones falling into the Profit and Loss (also called Income Statement).

As an introduction to the accounting 'jargon', I found a very interesting link written by Jayne Smith. Moreover, Jayne to help you further in understanding these 48 key accounting words, has added for everyone of these words the following explanations:

Definition What it means Rules and regulations (yes, unfortunately you cannot hide your salary in the 'office expenses' account) Related words Examples Adding up the f...
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