Definition of Accounting

“Accounting is the art of recording, classifying and summarizing in a significant manner and in terms of money, transactions and events, which are, in part at least, of a financial character and interpreting the result thereof” – American Institute of Certified Public Accountants (AICPA) “Accounting refers to the process of identifying, measuring and communicating economic […]

Read More

Functions of Accounting

Primary Function “To provide financial reports to various end-users for economic decision-making.” – PAS 1 Basic Function “The process of identifying, measuring and communicating economic information to permit informed judgements and decisions by users of the information.” – American Accounting Association

Read More

Branches of Accounting

As a result of economic, industrial, and technological developments, different specialized fields in accounting have emerged. The famous branches or types of accounting include: financial accounting, managerial accounting, cost accounting, auditing, taxation, AIS, fiduciary, and forensic accounting. 1. Financial Accounting Financial accounting involves recording and classifying business transactions, and preparing and presenting financial statements to […]

Read More