define accounting  

3 Answers | Add Yours

meleka23's profile pic

meleka23 | Student, Undergraduate | (Level 1) eNoter

Posted on

Accounting is the systematic recording, reporting, and analysis of financial transacions of a business.

The person in charge of accounting is known as an accountant, and this individual is typically required to follow a set of rules and regulations, such as the Generally Accepted Accounting Principles (GAAP).

Accounting allows a company to analyze the financial performance of the business, and look at statistics such as net profit.

Accounting is a service having two purposes: provide information about business, provide safeguard over the assets of the business

Accounting is a process of: analyzing, recording, and summarizing, financial data of a particular business activity.

There are two types of Accounting: Financial Accounting and Management Accounting.

Financial Accounting Covers reporting results and financial position of a business. Its primary task is not related to provision of information towards improvement of business efficiency and its management, but is to satisfy information needs of interested parties not involved in business management. Only historical information is provided by financial accounting in the strict forms of the reports.

Management Accounting Covers provision of information to the management of the business for business planning and controlling purposes. Includes not only historical, but also future (forecasted) information. No strict form of the reports are used.

meleka23's profile pic

meleka23 | Student, Undergraduate | (Level 1) eNoter

Posted on

Accounting is the systematic recording, reporting, and analysis of financial transacions of a business.

The person in charge of accounting is known as an accountant, and this individual is typically required to follow a set of rules and regulations, such as the Generally Accepted Accounting Principles (GAAP).

Accounting allows a company to analyze the financial performance of the business, and look at statistics such as net profit.

 

sasikumarupadhaya's profile pic

sasikumarupadhaya | College Teacher | (Level 1) Salutatorian

Posted on

Accounting is defined as an art or science of record keeping of business monetary activities. In actual, accounting comprises a series of steps which is named as accounting cycle. it includes identifying financial activities of business, journalising, posting, summarising into Final Accounts and finally communicating the real position of business to different staakeholders of busiess.

Accounting is also concerned with analysis of financial data and inforamtion obtained from different set of accounts. Accounting and Book Keeping much different from one another. Book keeping deals with record keeping of financial transactions and preparing some other books of accounts. on the flip side, accounting covers a wider range; recording transactions, analysing and communicating the results thereof.

We’ve answered 318,930 questions. We can answer yours, too.

Ask a question