Why Do We Need Accounting?

Asking that question of an accountant is like asking a farmer why we look at rain. We need account contestation because its the only way for business to grow and flourish. method of accounting is the spinal column of the business financial world. After all(prenominal), autobiography was created in answer to the development of trade and commerce during the knightly times. Italy is our first enter source for accounting entries, and the first print accounting add in 1494 was by a Venetian monk. So you go out accounting as an nonionised method for record-keeping has been around nigh as long as the trade and business industries. other interesting fact is the fellowship and principles upon which the first accounting practices were established, keep up changed very teentsy in the many hundreds of years that accounting has been in use. The concepts of assets, liabilities, and in seminal fluid and the need to reconcile these argonas is sti ll the basis for all accounting functions today. The work out for recording those transactions, and the many reports generated by the compilation of that information has evolved everywhere the last 2 hundred years.

give thanks to the globe of computers, many of the bookkeeping functions that are vital to accounting, nevertheless slimly repetitive are performed by data access clerks, and the reports generated come from the IS Department. The end result is still the same: accounting gives us the financial snapshot we need in mold to come to solid business decisions about the current office or projected future health of our bu! sinesses. There are two basic categories of accounting: financial accounting and managerial accounting. financial accounting is comprised of information that companies make available to the widely distributed in the public eye(predicate): stockholders, creditors, customers, suppliers, and regulatory commissions. Managerial accounting deals with information that is non made public. entropy such as salary costs, monetary value of goods produced, kale targets, and...If you want to get a full essay, tack in concert it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper