Cash Letter
A group of checks accompanied by a paper listing sent to a clearinghouse, a Federal Reserve Bank, or another institution. A cash letter contains a number of negotiable items, mostly checks, accompanied by a letter that lists the amounts and instructions for transmittal to another bank. May also be called a transmittal letter.

Receipt
A written record of a transaction.

Bad Debt
Money owed for a business debt that cannot be collected

Balance Sheet
A statement listing a business's assets, liabilities, and net worth, or equity.

Accrual Method Of Accounting
In the context of a financial audit, audit findings represent weaknesses or deficiencies in internal controls, or instances of noncompliance with applicable laws and regulations, that are presented in an audit report.

Net Income
Gross income less expenses; it represents a business's profit for a given year.

Invoice
A written record of a transaction, often submitted to a customer or client when requesting payment.

Accounting
term that refers to the overall process of tracking your business's income and expenses, and then using these numbers in various calculations and formulas to answer specific questions about the financial and tax status of the business.

Double-Entry Accounting
A system of accounting that records each business transaction twice.

Statement
A formal written summary of outstanding invoices.