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An accounting transaction is a business event having a monetary impact on the financial statements of a business.
When you “reconcile” your bank statement, you compare it with your bookkeeping records for the same period, and pinpoint every discrepancy.
Accounts receivable (AR) is the balance of money due to a firm for goods or services delivered or used but not yet paid for by customers.
Accounts payable are amounts due to vendors or suppliers for goods or services received that have not yet been paid for.
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