The Importance of Accounting

The purpose of accounting is to provide the information that needed to make sound economic decisions. It is one of the oldest professions in the world today, and the backbone of any business operation. It is not just about numbers, accounting is about planning. Accounting has many subfields, which includes management accounting, financial accounting, and cost accounting. Accounting can be a prestigious career, but to achieve that prestige you will have pass the CPA (Certified Public Accountant) exam and become a licensed accountant, and with that license you can work in any of the subfields.

Accounting is the study of how businesses track their income and assets over time. Accountants engage in a wide variety of activities besides preparing financial statements and recording business transactions. These activities include computing costs and efficiency gains from new technologies, participating in strategies for mergers and acquisitions, quality management, developing and using information systems to track financial

A knowledge of Accounting is useful for everyone. It can be used in their daily life to manage their salary wisely, to know how much money they have with them or how much money they have spent. They can also be a better investor if they have this knowledge. As for me, my passion for accounting started in secondary school. When I was 16, I needed to choose whether to pursue my studies in Pure Science stream or Social Science stream. I choose the latter, even though I was a Science student because I enjoy trying something different. I was also eager to learn and know more about accounting, of which I have heard a lot about. As a beginner, I faced some difficulties in taking a new subject. Not surprisingly perhaps, I did not really perform in

Math is something very important in accounting because you keeping track of numbers and doing problem solving to make it so you can see the probably out comes to a certain input. The economic side of things is much needed because without this field you understand the important of both macro and micro economics and how with each one you can apply a needed group to allow our company grow in leaps and bounds. Accounting is a competitive job because there are a lot of people that are working towards being an accountant so to really keep your job or to get one you really need to be a go getter, you also need to stand out from the other accountants and go the extra

A manager of any type need to have experience in the accounting and with financial statements. With the accounting, they need to know how they got the numbers. Then with the financial statement need to be able to read one and know what it saying. Let say you a manager of Apple store and you wanting to know where you profiting or not. The financial statement will tell you and you decided what needs to be change.

The Controller is often thought same as Chief Financial officer (CFO), but they both are different. Controller reports to CFO if the company has one. Otherwise, h/she reports to the President of the company. CFO reports to the Chief Executive Officer (CEO) or the President. Other accounting managers and accountants report to the controller. “A financial controller is an individual in a company that is the head of the accounting division within the company” (Wilkinson, 2013). He is fully responsible for company’s financial reporting. Some of the responsibilities of the financial controller are assisting with the annual audit, perform accounts payable and accounts

Accounting is defined by the American Institute of Certified Public Accountants (AICPA) as "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 financial character, and interpreting the results thereof."

The Malaysian Angel manufacturing company in Kota Kinabalu had been using manual accounting records for more than 10 years, the new managing director then decide to change the old practice to a new accounting system. There are a lot of benefits of computerizing the accounting records. Here are some benefits for the Account Receivable area, Account Payable area, Inventory, Payroll and Revenue Recording.

Accounting is the language of business. It is a profession that is being guided by principles, concepts, conventions, laws, etc. All these fundamental building blocks serve as common and general compasses to all practitioners of the profession. In some cases, they are nation-wide tailored, while in other cases, they are universally tailored. Accounting as a living, practical, dynamic and realistic profession covers so many areas of social, economic (business), and governmental activities. Surely, any endeavour that involves monetary and material activities create a room for the services of Accounting. Many of the human endeavours for which the accounting profession plays significant (some times inevitable) roles include; Banking, Insurance, Manufacturing, Farming Contracting, Oil and Gas, Mining, Transportation (Air, Land and Sea), Educational Institutions, Churches, Ministries, ICT, Hire Purchase, Local Government Authorities, Estate Businesses, Export and Import Businesses, Bill of Exchange Transactions, Royalties Transactions, Consignment Transactions, Stock Market Transactions, Sports, Entertainment, Hospitals and Hospitality Industry, etc.

Accounting is a system-centered activity carried out to meet particular needs. But a study through time, and a study of systems in widely varying enterprises, reveal the existence of some broad needs and the development of some common methods and generally accepted standards in the meeting of those needs. In their valuable study of accounting continuity,' Littleton and Zimmerman have traced three general and continuing needs which have been and continue to be the concern of accounting:

Accounting professionals are in very high demand. The nature of work in accounting is so vast an individual would have so many different areas of accounting to choose from. Accounting requires people who can work with complex business structures, computer systems, and financial analysis packages. Accounting work further requires an aptitude for mathematics and the ability to compare and analyze accounting data quickly. Accountants also need to have strong communication skills as they must effectively communicate accounting data to their employers and/or clients. The accounting profession also demands a high level of integrity and morality because the financial data prepared by accountants is used by business managers to run their

Management accountants contribute to the company’s decisions about strategy, planning, and control, by scorekeeping, attention directing and problem solving.[8]

The development and practice of accounting is affected by the international business environment. Several influential factors that impact the international environment are the country 's legal system, the political and economical relationships with other countries, as well as the social and cultural climate. From an economical perspective many variables that play into the development and practice of international accounting such as the level of inflation, strength of funding, growth pattern of the country 's economy and the country 's level of independence.

Accounting is the means of providing the financial information of any given organization. It summarizes all the company’s transactions and provides a clear image of the business. Accounting keeps the record of all financial reports which is very important for all the managers and stake holders like share holders, creditors or owners. Every country has its own set rules and follows their own accounting standards. (Duquesne University, 2006).

Roles are different for management and Management accountant. Same person could do both, but the roles will completely differ. Thus, Management accountants support all the decisions made by the managers. They can mix up their roles that they have daily across the departments and multiple functions. In addition, it includes working for branches of companies that are located in other countries and preparing non-financial and financial work. Achieving an organisations strategic goals are vital, all the decisions made by management accountants has a huge impact to help them achieve their goal. Management accountant used to only provide, process and collect information during the year 1950.