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Cash and Accrual Accounting

Cash Accounting
Advance

Jun 2011

Jul 2011

Revenue

500,000

Expenses

300,000

300,000

200,000

-300,000

Protfit/Loss

Advance

Jun 2011

Jul 2011

Revenue

Expenses

Protfit/Loss

100,000

-100,000

Accrual Accounting
Deliver
Product

Deliver
Product

Advance

Aug 2011

300,000

-300,000

Jun 2011

Jul 2011

Revenue

166,667

166,667

166,667

Expenses

300,000

300,000

300,000

-133,333

-133,333

-133,333

Protfit/Lo

Deliver
Product

Deliver
Product

Advance

Aug 2011

Jun 2011

Aug 2011

Jul 2011

Aug 2011

Revenue

Expenses

Protfit/Lo

33,333

33,333

33,333

-33,333

-33,333

-33,333

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