A Chart of Accounts (COA) is a structured list of all the accounts used to record financial transactions within an organization. It provides a systematic way to categorize and organize financial data, making it easier to track and analyze various types of transactions and financial information.
The Chart of Accounts typically includes a series of numbered accounts, each representing a specific category or type of financial transaction. Each account is assigned a unique code or account number, which helps in identifying and classifying transactions accurately. The structure of the COA may vary depending on the organization’s size, industry, and specific reporting needs.