Bookkeeping is part of the accounting cycle, but accounting goes far beyond the activities involved in bookkeeping.

Question

Quizplus · Accepted Answer

Bookkeeping involves recording financial transactions and information, while accounting involves analyzing and interpreting that information to make business decisions and prepare financial statements. Accounting also includes activities such as auditing, tax planning, and financial planning.

Bookkeeping Is Part of the Accounting Cycle, but Accounting Goes