companies are required by law to state which accounting method they use in their published financials. Although the ABC Company example above is fairly straightforward, the subject of inventory ...

What does “inventory adjustments” or “change in inventory” mean?
 This term reflects how your farm’s books are converted to the accrual accounting method.

The basic inventory tools that come with small-business accounting software and point-of-sale systems can be sufficient in some cases, but more complex operations may require stand-alone software ...

The cash method is used by many sole proprietors and businesses with no inventory. From a tax standpoint, it is sometimes advantageous for a new business to use the cash method of accounting.