Financial accounting covers an area of accounting generally referred to as reporting. Financial accounts are prepared for various user and stakeholder groups and as such they have many different objectives for the different groups and a very wide scope. The scope of financial accounting includes recording transactions, summarising information, analysing information, reporting information and presenting …
Financial accounting is concerned with the recording, classification, summarising, analysis, interpretation and communication of business transaction information through accounts and financial statements. Financial accounting is governed by the International Financial Reporting Council through sets of rules including the International Financial Reporting Standards (IFRS) and International Accounting Standards (IAS). The standard of information required and who …
It is important to understand the objectives of cost accounting. Cost accounting is a part of management accounting that is concerned with the identification, accumulation, classification and appropriation of cost data in a business to help management with information that is useful for price determination, budgeting, financial control and decision making among other things. Cost …
This article outlines the objectives of auditing. Audit and assurance is an arm of accounting that is primarily with verifying the correctness of information provided in financial statements and within an organisation. It is split into two main functions which are internal audit (control) and external audit. Internal audit is primarily concerned with making sure …
