Accounting Essay

Accounting Essay-35
The importance of accounting can be understood in the popular use of this systematic information by the interested parties (i.e., the data processed in the form and format meaningful to the user).This systematic information is used by interested persons for decision making.

The importance of accounting can be understood in the popular use of this systematic information by the interested parties (i.e., the data processed in the form and format meaningful to the user).This systematic information is used by interested persons for decision making.

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It prescribes the process through which the objectives can be achieved. In its micro system it includes several branches in the form of Financial Accounting, Cost and Management Accounting and others such as Government Accounting, HR Accounting, Inflation Accounting, Environmental Accounting, Farm Accounting, etc.

Accounting relates to the work of maintaining various books of accounts, say, journal proper, subsidiary books, ledger, etc., which are generally done by junior employees as and when the transactions take place.

For this reason these books are called Books of Original Entry.

The Corporate Report (1975) London lists all types of users who need accounting information.

The Stamp Report (1980) Canada states that because of broader accountability concept in Canada, the range of users is also broader.

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