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The types of bookkeeping accounts

The types of bookkeeping accounts

The choice of bookkeeping accounts means the choice between the following types of accounts:

  • Cash is a type of bookkeeping accounts that reflects the cash balance, i.e., notes and coins available in cash, balances on bank accounts, checks, and other assets equated to cash.
  • Accounts receivable is money owed by customers (individuals or entities) to another entity in exchange for goods or services. That has been delivered or used but has not yet been paid.
  • Inventory is a type of bookkeeping account connected with the equipment of the company and its maintenance;
  • Accounts payable is the money the company owes for already purchased goods or services rendered to it that have not yet been paid.
  • Loans payable is a type of bookkeeping account that represents the money and interest that the organization owes to third party lenders.
  • Sales is an account for registration of trade transactions; it reflects information about the sale of products: sales volumes, costs associated with the sale, proceeds from the sale.

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