I hope that last week’s blog post encouraged you to start preparing your bookkeeping your tax accountant. The sooner you get started, the sooner you will be organized and the sooner you can file your tax return! Bookkeeping is an easy thing to keep putting off, but I really encourage you to get 2012 and organized and then you can focus on 2013.

This week I thought we would start to look at different bookkeeping terminology to help you understand your bookkeeping better. I’m going to make this a 2 part series – this week we will look at the Income Statement and next week we will look at the Balance Sheet.

So, let’s get started! We will start at the top of the Profit and Loss Statement and work our way through.