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Accounting
Chart of Accounts
The complete list of every account a company uses to record its transactions, organized by type.
The chart is the backbone of the entire accounting system. It usually groups accounts into assets, liabilities, equity, revenues, and expenses so everything stays organized and easy to find.It's like the table of contents in a giant textbook that tells you exactly where to find every topic.
Real world: A business might have account numbers 101 for Cash, 401 for Sales Revenue, and 601 for Rent Expense — the chart of accounts lists every single one.
💡 A well-organized chart of accounts makes bookkeeping fast and accurate — it's the first thing any new business should create.