Question

some people naively confuse a book keepar with an accounting and book keeping with accounting discuss in detail​

Answer 1

Explanation:

When most people think about bookkeeping and accounting, they would be hard-pressed to describe the differences between each process. While bookkeepers and accountants share common goals, they support your business in different stages of the financial cycle.

Bookkeeping is more transactional and administrative, concerned with recording financial transactions. Accounting is more subjective, giving you business insights based on bookkeeping information.

The bookkeeper role vs the accountant role

Bookkeepers and accountants sometimes do the same work. But in general, a bookkeeper’s first task is to record transactions and keep you financially organized, while accountants provide consultation, analysis, and are more qualified to advise on tax matters.

Bookkeeping vs accounting

(i). Bookkeeping records and categorizes financial transactions while Accounting  prepares entries.

(ii). In bookkeeping there is posting of debits and credits while accounting involves preparing financial statements

(iii) Bookkeeping involves producing and sending of invoices while accounting involves completing income tax returns

(iv). Bookkeeping involves record keeping while accounting involves financial forecasting.