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What differences between cash and accrual basis accounting

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Reference no: EM132451339

Chose only ONE questions to answer, 250 word minimum, cite references using APA format.

(question a) What are the differences between cash and accrual basis accounting? Provide an example of each type. Briefly explain why a company might need to adjust entries in the general ledger.

(question b) Evaluate how the appearance of solvency for a business changes when using cash vs. accrual accounting, noting which stakeholders might be affected and how.

Reference no: EM132451339

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