What Is a Clearing Account in Accounting?

Answer Financial accounts in the general ledger hold information relating to a company's business transactions. Many different types of accounts exist in the general ledger. A specific account companies c... Read More »

Top Q&A For: What Is a Clearing Account in Accounting

What is a payroll-clearing account?

A payroll-clearing account is a business checking account set up specifically to handle payroll and payroll-related transactions, such as paying taxes and garnishments. The reasons for the setting ... Read More »

What Is a Permanent Account in Accounting?

Accounting uses multiple financial accounts to organize and retain financial information relating to business transactions. The accounts are either permanent or temporary. The type of account is ve... Read More »

Proper Accounting for Business Owner Depositing Personal Money Into Business Checking Account?

Transactions between a business owner and her company must be accounted for properly for many reasons. To accurately record how much money the company owes the owner or vice versa, every transfer o... Read More »

What Is a Clearing Number?

A clearing number is a banking term that refers to a code used in clearing checks. Each clearing number represents a specific bank. The term is typically used in Europe and is equivalent to the ban... Read More »