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EFFECTS OF BOOK KEEPING ON FINANCIAL PERFORMANCE OF SMALL MEDIUM ENTERPRISES IN EMBU COUNTY, KENYABYNDUNGU LILIAN WANJIKUUNITED STATES INTERNATIONAL UNIVERSITYAFRICASUMMER, 2021EFFECTS OF BOOK KEEPING
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01
Identify the financial aspects you wish to track through bookkeeping.
02
Gather all relevant financial documents, such as invoices, receipts, and bank statements.
03
Set up a system for categorizing expenses and income, using software or physical ledgers.
04
Record each transaction promptly, ensuring accuracy and completeness.
05
Reconcile your accounts regularly to ensure that your books match your bank statements.
06
Review financial reports periodically to analyze trends and make informed decisions.

Who needs effects of book keeping?

01
Small business owners who manage their own accounting.
02
Freelancers who need to keep track of income and expenses for tax purposes.
03
Non-profit organizations that require accountability for donations and funding.
04
Accountants and financial advisors who need accurate records to assist their clients.
05
Investors looking to assess the financial health of a business.
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The effects of bookkeeping refer to the impact that proper recordkeeping has on a business's financial health, enabling accurate financial statements, facilitating tax compliance, and aiding in better decision-making.
All businesses, regardless of size, are required to maintain proper bookkeeping records, which may need to be filed or presented during audits or tax reporting.
To fill out the effects of bookkeeping, gather financial data, categorize transactions, maintain records of income and expenses, and prepare relevant financial statements such as balance sheets and income statements.
The purpose of bookkeeping is to ensure financial accuracy, maintain compliance with laws, provide insights for business growth, and prepare for tax obligations.
Information that must be reported includes revenue, expenses, assets, liabilities, and equity, along with detailed transaction records that substantiate these figures.
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