Finance & Accounting / Controllership
Cash vs Accrual Basis
Whether you record a transaction when cash moves (cash basis) or when it is earned/incurred (accrual basis).
The fork, why two teams get different numbers
Small businesses, many nonprofits, and most personal finance run cash basis; GAAP financial statements require accrual.
In the Metric Library
- The full fork, both definitions worked all the way through
- The trap that makes the number lie, on a real export
- Every formula variant, spelled out
- The reconciliation anchor, what to tie it to and when to refuse
Reference: FASB Conceptual Framework · FASB ASC 606 · AICPA Special Purpose Frameworks (cash/tax basis)