After that previous post on individual fixed and variable costs, you probably want a refresher on financial accounting. Even if you don’t you still need to know. There are different types of “accounting” in a business, one of which is Financial Accounting. Another is “Innovation Accounting,” for which the process of recording the inputs and outputs of experiments helps us understand whether or not to continue with a project.  Cost accounting is another method of understanding the exact costs related to production or service delivery.

This Slideshare on Financial Accounting won’t get you an MBA, not that you need one, but it will help you understand your company’s money better. Eventually QuickBooks or some other software may help keep the records, but none of those reports will make much sense unless you understand the fundamentals.

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