Accounting For Dummies, 7th Edition

Chapter 3

Safeguarding Company Assets

IN THIS CHAPTER

Distinguishing between bookkeeping and accounting

Getting to know the bookkeeping cycle

Making sure your bookkeeping and accounting systems are rock solid

Doing a double take on double-entry accounting

Protecting against innocent errors and cunning fraud

We think it’s safe to say that most folks are not enthusiastic bookkeepers. Let’s hope you reconcile or balance your checkbook against your bank statement every month (most likely electronically these days) and somehow manage to pull together all the records you need for your annual federal income tax return. But if you’re like us, you stuff your bills in a drawer or bury them in your cellphone somewhere, and just drag them out once a month when you pay them. And when’s the last time you prepared a detailed listing of all your assets and liabilities (even though a listing of assets is a good idea for fire insurance purposes)? Personal computer programs are available to make bookkeeping ...