Owner-managers need to have a good understanding of the basics of financial accounting and management accounting in order to gain a sound overview of their company’s performance and to make well-informed decisions for the future.
While financial accounts (profit and loss, balance sheet and cash flow statements for the past financial year) give a picture of overall trading performance and future viability, it is management accounts that provide the information necessary for making key decisions within the business.Last Updated
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Understanding business accounts
