Explaining the difference between a BOOKKEEPER and an ACCOUNTANT like you're five.

Okay. Imagine may sari-sari store ka. Everyday may bumibili. May pumasok na 1,000 pesos. Bumili ka ng stocks worth 500 pesos. Nagbayad ka ng kuryente ng 200. Si bookkeeper, siya yung taga-record. Okay? 1,000 pesos sales, 500 bumili ng paninda, 200 electricity. Basically, yung trabaho niya is siguraduhin na kumpleto, organized, at tama ang records ng pera na pumapasok at lumalabas sa business. Now, si accountant naman, tinitingnan niya yung records and ask, okay, kumita ba talaga tayo? Bakit mas mataas ang expenses natin this month? May utang ba tayong kailangan bantayan? Magkano talaga ang pera ng business? At ano ang sinasabi ng numbers tungkol sa negosyo? So, in the simplest way, the bookkeeper keeps tracks of what happened, and the accountant helps understand what those numbers mean. Pero ito yung medyo confusing na part. Pwedeng gumawa ng bookkeeping ang accountant. And depending on their training and experience, some bookkeepers can also do work that people normally associate with accountants. Kaya hindi talaga siya always black and white. But generally, bookkeeping equals recording and organizing the financial activity, while accounting is analyzing, interpreting, and making sense of that financial information. So parang si bookkeeper yung magsasabing, "Eto lahat yung nangyari sa pera mo." Tapos si accountant naman, "Okay, eto naman ang ibig sabihin niyan." And yes, pareho silang important because an accountant can properly analyze messy and incomplete books. So kung 5 years old ka, bookkeepers keep the numbers organized. Accountants explain the story behind the numbers. Get?