How sales and accounting are interrelated.

Can anyone tell me how sales and accounting are interrelated.

HI Narendran,
Its simple funda:
Any company is selling only to make profits. what we selling is an asset for the company till the sales is complete. so you need to keep tract /have account for the finished goods you have in stores so they are accounted.
What ever is sold to customer you need to collect the money from the customer so you need to know what you have sold and how much money you need to het back from teh customer. hence you need to keep tract /have account for what eveer you have sold.
Hope this provides some understanding
REWARD IF IT HELPS
regards
Srini

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