It is essential to record all business transactions in a timely manner whether you’re a company owner. This will ensure you have an accurate picture of how your business is doing financially, and when tax time comes around, you’ll be able to quickly locate all the required records. Tracking software is one of the most effective tools to keep an eye on all transactions. This software can help you keep an eye on all your expenses and reduces human errors.
A cash receipts bank account and an accounts receivables control bank account in your general ledger are two other excellent ways to monitor your transactions. The totals of these two accounts are compared at the end of each month. If the total of your cash receipts account is in line with the total of your accounts receivables control account you have recorded your transactions throughout the month.
Trackout control is one of the methods employed in control engineering to create the output of the system (or process) to track the output of a reference signal. This is usually done in linear feedback systems, and can be mathematically modeled with the strictest guarantee of stability8.
A simple method to make it easier for your accountants to track all of your transactions is by taking the habit of using the receipt scanner. This will allow you to keep all your receipts in one location, and also make it easier for you when it’s time to record your expenses.