what is the difference between accounting and bookkeeping?

Question

and what are the 3 types of businesses as to source of income?

Answer 1

Accounting vs Bookkeeping

Bookkeeping
- is the tedious part of the financial affairs of a business. It involves the systematic recording of the amounts, dates and sources of each revenue and expense transaction. Bookkeeping is concerned with the systems that enable the financial information to be extracted in the transactions that generate revenue and incur expense in the business.

Accounting
- is the bigger picture. It is the system that keeps track of the data, including people, and records the transaction's history, as well as taking the information that is obtained through the bookkeeping process and using that information to analyse the results of the business.

Accounting is the system that provides the reports and information needed for management to make decisions as to the direction of the business, as well as issues such as taxation, Sales Tax etc.

Some say you should think of accounting as a giant sifter and of bookkeeping as the process of pouring the stuff into the sifter. Things get stirred around and you get the information from the sifter after it's been stirred, in order to run the business efficiently and profitably.

I don't really understand your 2nd qn but if you want examples of sources of income:
Sale of Goods e.g. retailers selling shoes, clothes, books, etc
Sale of Services e.g. performing accounting work, legal work, a bank making loans, financial institutions accepting deposits and paying interest, etc
Receipt of dividends from an investee
Rental income from renting out a property, etc

Answer 2

Accounting vs. Bookkeeping. Consider a bookkeeper like a nurse. Consider an accountant like a general practice doctors. Doctors can have many specializations including neurology, cardiology. Accountant would specialize in taxation, mergers and acquisition, etc. Some great bookkeeping services online are www.MyBooks.Solutions and Bench.co

Answer 3

Great question! Bookkeeping and accounting are both essential as required for all businesses. Bookkeeping means recording every financial transaction made by the company. Accounting is the interpreting, classifying, analyzing, reporting and summarizing of financial data. For more information, please contact us at bit.ly/21brJeN or 888-898-0919. We are GBO, a reliable outsourced bookkeeping company which offers high-quality bookkeeping services at affordable rates.