Frequently Asked Questions
What is QuickBooks Online?
QuickBooks Online is cloud-based accounting software that allows us to collaborate virtually with small businesses to manage their bookkeeping and accounting needs including tracking income, expenses, and more.
What is the difference between bookkeeping and accounting?
Bookkeeping is how we help small businesses record and organize their financial data. Accounting is how we help them interpret and present financial data so they can make thoughtful business decisions.
When do I need a CPA?
Hiring a CPA is required for auditing, signing off on financial documents for third-party stakeholders, reviewing financial documents for accuracy, and certain tax services.
Does Two Birds Accounting provide CPA services?
To provide businesses with cost-conscious bookkeeping and accounting services, we do not provide CPA services. Along with Bachelor of Science degrees in accounting, our post-education certifications include:
QuickBooks ProAdivsor
Intuit Academy Bookkeeper Exam
Does Two Birds Accounting have experience with other applications?
We have extensive experience with applications that integrate with QuickBooks Online including:
Gusto
Bill.com
What is the difference between a chart of accounts and a general ledger?
A chart of accounts is a listing of each account in a system while a general ledger is the numbers used to categorize types of transactions.
What is a balance sheet?
A balance sheet is a snapshot of a business's financial health. It highlights the money owed from customers, owed to vendors, and investments made by stakeholders.
What is a profit and loss statement (aka income statement)?
A profit and loss statement (income statement) highlights the revenue and expenses of a business over a period of time.
What is the current ratio?
A business’s ability to pay its current (short-term) liabilities with its current assets, including liquidating inventory.
What is the quick ratio (aka acid-test-ratio)?
A business’s ability to pay its current liabilities without the need to sell inventory or obtain additional financing.