Accounting vs. Bookkeeping

While often used interchangeably, accounting and bookkeeping serve different purposes. Bookkeeping involves the day-to-day recording of financial transactions, while accounting encompasses the broader process of analyzing, interpreting, and reporting financial data.

Key Differences

• Focus: Bookkeeping is transactional; accounting is analytical.
• Skills Required: Bookkeepers need attention to detail; accountants require analytical skills.