Cash Accounting The main alternative to accrual accounting is the cash basis of accounting ... the "accounts payable" account on the balance sheet. This increases a company's expenses and accounts ...

Discover why GAAP requires the accrual basis for accounting rather than the cash basis, and learn why it is important for stakeholders.

While most businesses use the accrual basis, the most appropriate method for your company depends on your sales volume, whether or not you sell on credit and your business structure. The cash ...