Accounts receivableAccounts receivable, abbreviated as AR or A/R, are legally enforceable claims for payment held by a business for goods supplied or services rendered that customers have ordered but not paid for. The accounts receivable process involves customer onboarding, invoicing, collections, deductions, exception management, and finally, cash posting after the payment is collected.Accounts payableAccounts payable (AP) is money owed by a business to its suppliers, shown as a liability on a company's balance sheet. It is distinct from notes payable liabilities, which are debts created by formal legal instrument documents. An accounts payable department's main responsibility is to process and review transactions between the company and its suppliers and to make sure that all outstanding invoices from their suppliers are approved, processed, and paid.General ledgerIn bookkeeping, a general ledger is a bookkeeping ledger in which accounting data are posted from journals and aggregated from subledgers, such as accounts payable, accounts receivable, cash management, fixed assets, purchasing and projects. A general ledger may be maintained on paper, on a computer, or in the cloud.
AccountingAccounting, also known as accountancy, is the process of recording and processing information about economic entities, such as businesses and corporations. Accounting measures the results of an organization's economic activities and conveys this information to a variety of stakeholders, including investors, , management, and regulators. Practitioners of accounting are known as accountants. The terms "accounting" and "financial reporting" are often used interchangeably.
PayrollA payroll is a list of employees of a company who are entitled to compensation and other work benefits, along with the amounts each should receive. The term can also refer to a company's records of past employee payments, including wages, salaries, bonuses, and withheld taxes, or to the department responsible for managing compensation. A company may handle all aspects of the payroll process in-house or can outsource aspects to a payroll processing company.
Computer programA computer program is a sequence or set of instructions in a programming language for a computer to execute. It is one component of software, which also includes documentation and other intangible components. A computer program in its human-readable form is called source code. Source code needs another computer program to execute because computers can only execute their native machine instructions.
Financial transactionA financial transaction is an agreement, or communication, between a buyer and seller to exchange goods, services, or assets for payment. Any transaction involves a change in the status of the finances of two or more businesses or individuals. A financial transaction always involves one or more financial asset, most commonly money or another valuable item such as gold or silver. There are many types of financial transactions.
BudgetBalance sheet or statement of estimated receipts and expenditures A budget is a calculation plan, usually but not always financial, for a defined period, often one year or a month. A budget may include anticipated sales volumes and revenues, resource quantities including time, costs and expenses, environmental impacts such as greenhouse gas emissions, other impacts, assets, liabilities and cash flows.Balance (accounting)In banking and accounting, the balance is the amount of money owed (or due) on an account. In bookkeeping, "balance" is the difference between the sum of debit entries and the sum of credit entries entered into an account during a financial period. When total debits exceed the total credits, the account indicates a debit balance. The opposite is true when the total credit exceeds total debits, the account indicates a credit balance.
Customer relationship managementCustomer relationship management (CRM) is a strategic process that organizations use to manage, analyze, and improve their interactions with customers. By using data-driven insights, CRM often involves dedicated information systems that help store and analyze customer data, support communication, and coordinate sales, marketing, and service activities.CurrencyA currency is a standardized form of money, in use or circulation as a medium of exchange, for example banknotes, coins, electronic balances in online bank accounts, and central bank digital currencies (CBDCs). A more general definition is that a currency is a system of money in common use within a specific environment over time, especially for people in a nation state.Financial statementIn finance and accounting, financial statements (or financial reports) are formal records of the financial activities and position of a business, person, or other entity. Relevant financial information is presented in a structured manner and in a form which is easy to understand.*As an Amazon Associate I earn from qualifying purchases.