Sales are a part of any business. Whether you are selling a service or a product, it is important to understand the various accounting components of the sales process to help keep financial statements and accounting reports accurate and useful. However, the accounting entries vary based on whether you are using the cash or accrual basis of accounting. In this course, we will discuss the accounting entries that need to be made during each stage of the sales process, the role of bad debt expense and how this works in conjunction with the Accounts Receivable and Allowance accounts on the balance sheet.