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The US Generally Accepted Accounting Principles (GAAP) requires the use of the accrual basis of accounting for business enterprises. The Governmental Accounting Standards Board (GASB) requires the use of the modified accrual basis for fund statements and the accrual basis for the government-wide financial statements. The IRS allows small businesses and partnerships to use the cash basis to prepare the financial statements and the tax return. Write an academic paper to compare the three accounting basis; the accrual basis, the modified accrual basis, and the cash basis. Your paper should include the pros and cons of each basis, and discussion of the financial and economic effects.
Your paper should be at least 5-6 pages of content in APA format. You are also required to have a title page and reference page, this is not apart of the required page count. Make sure that you are using references and in-text citations. You should have at least 5 different references in your paper.
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