Glossary
Inventory Accounting: Methods, COGS, & Bookkeeper Workflow
Inventory accounting tracks goods held for sale using perpetual or periodic systems and three costing methods that flow directly to COGS.
10 min
Published Articles
Inventory Accounting: Methods, COGS, & Bookkeeper Workflow
Bad Debt Expense: When & How Bookkeepers Write Off Uncollectible AR
Glossary
Bad Debt Expense: When & How Bookkeepers Write Off Uncollectible AR
When a customer invoice won't get paid, bad debt expense is how it leaves your books. Here's the allowance method, direct write-off, and the AR aging workflow bookkeepers follow.
10 min
Accumulated Depreciation: What It Is & How It Appears on the Balance Sheet
Glossary
Accumulated Depreciation: What It Is & How It Appears on the Balance Sheet
Accumulated depreciation is the running total of all depreciation charged against a fixed asset. It reduces the asset's carrying value on the balance sheet.
9 min
Owner's Equity: What It Is & How Bookkeepers Track It
Glossary
Owner's Equity: What It Is & How Bookkeepers Track It
Owner's equity is what's left after liabilities. Here's how bookkeepers track it across sole props, LLCs, S-Corps, and C-Corps.
10 min
Net Income: What It Is & How Bookkeepers Calculate It
Glossary
Net Income: What It Is & How Bookkeepers Calculate It
Net income is the bottom line of the P&L. Here's the formula, how it differs from gross profit and EBITDA, and where it flows at year-end close.
9 min
Credits and Debits: What They Are & How Bookkeepers Use Them
Glossary
Credits and Debits: What They Are & How Bookkeepers Use Them
Every transaction hits at least 2 accounts. Credits and debits are the left/right columns that keep books balanced. Here's what that actually means.
10 min
Cash Flow Statement: What It Is & How Bookkeepers Build It
Glossary
Cash Flow Statement: What It Is & How Bookkeepers Build It
The cash flow statement reconciles net income to actual cash movement across operating, investing, and financing activities.
10 min
Balance Sheet: What It Is & How Bookkeepers Read It
Glossary
Balance Sheet: What It Is & How Bookkeepers Read It
Assets = Liabilities + Equity. Learn the 3-section structure, the bookkeeper review sequence, and 4 red flags every month.
8 min
Gross Profit: Definition, Formula, & How It Differs From Net Income
Glossary
Gross Profit: Definition, Formula, & How It Differs From Net Income
Gross profit = Revenue minus COGS. It sits at the top of your P&L and shows whether your core product or service actually makes money.
8 min
Amortization: What It Is & How Bookkeepers Record It
Glossary
Amortization: What It Is & How Bookkeepers Record It
Amortization has two meanings in bookkeeping. Here's what each one means and how to record both correctly at month-end.
8 min
Journal Entry: What It Is & How Bookkeepers Use It
Glossary
Journal Entry: What It Is & How Bookkeepers Use It
Every transaction in double-entry accounting lives in a journal entry. Here's what's in one, the 4 types bookkeepers use, and when to hand-key vs let software handle it.
8 min
Fixed Assets: What They Are & How Bookkeepers Track Them
Glossary
Fixed Assets: What They Are & How Bookkeepers Track Them
Fixed assets are long-lived tangible items capitalized at cost. Here's how bookkeepers track them: FA register, addition entries, monthly depreciation, and disposal.
10 min
See It Work on Your Data
See Growthy on a sample book. Read-only bank access.
✓ No credit card✓ Works with QuickBooks Online✓ 85% accuracy
Get started