The Purpose of Accounting
| Phase 1 Individual Project | | ACC310-1301B-03 Instructor : Lataunia Green |
| Phase 1 Individual Project | | ACC310-1301B-03 Instructor : Lataunia Green |
February 25, 2013
Authored by: Tim Jones
February 25, 2013
Authored by: Tim Jones
Table of Contents The purpose of accounting 3 The objective of accounting 3 Important to the company 4 Accountant 's integrity 5 Technologies impact on the accounting profession 5 Conclusion 6 Bibliography 7
Accounting for Non-Accounting Majors
The purpose of accounting Is to gather and report financial evidence about the cash flow, performance, and financial position of that business. “Once this information has been entered into the accounting records, it is then made into a financial statement, which includes the following
■ Income statement: the results of the operation during an accounting period. It shows the revenue and expenses, and the profit or loss for that accounting period. ■ Balance sheet: presents information about an individual 's assets, liabilities, and shareholders ' equity, formula used to get results: Total assets = Total liabilities + Equity ■ Statement of cash flows: the range of actions that produce and use cash. ■ Statement of retained earnings: settles changes during the accounting reporting period. The general calculation structure of the statement is: Beginning retained earnings + Net income - Dividends = Ending retained earnings” (CPE, 2013)
The objective of accounting To keep systematic records: an organized record of financial transactions.
To protect business properties: protects a business property from unwarranted use.
To ascertain the operational profit or loss: establishes the net profit that is earned or loss suffered on business accounts.
To ascertain the financial position of business: The profit and loss account gives the amount of profit or loss made by the business during a particular period.
To facilitate rational
| Phase 1 Individual Project | | ACC310-1301B-03 Instructor : Lataunia Green |
February 25, 2013
Authored by: Tim Jones
February 25, 2013
Authored by: Tim Jones
Table of Contents The purpose of accounting 3 The objective of accounting 3 Important to the company 4 Accountant 's integrity 5 Technologies impact on the accounting profession 5 Conclusion 6 Bibliography 7
Accounting for Non-Accounting Majors
The purpose of accounting Is to gather and report financial evidence about the cash flow, performance, and financial position of that business. “Once this information has been entered into the accounting records, it is then made into a financial statement, which includes the following
■ Income statement: the results of the operation during an accounting period. It shows the revenue and expenses, and the profit or loss for that accounting period. ■ Balance sheet: presents information about an individual 's assets, liabilities, and shareholders ' equity, formula used to get results: Total assets = Total liabilities + Equity ■ Statement of cash flows: the range of actions that produce and use cash. ■ Statement of retained earnings: settles changes during the accounting reporting period. The general calculation structure of the statement is: Beginning retained earnings + Net income - Dividends = Ending retained earnings” (CPE, 2013)
The objective of accounting To keep systematic records: an organized record of financial transactions.
To protect business properties: protects a business property from unwarranted use.
To ascertain the operational profit or loss: establishes the net profit that is earned or loss suffered on business accounts.
To ascertain the financial position of business: The profit and loss account gives the amount of profit or loss made by the business during a particular period.
To facilitate rational
Bibliography: Compact, G. (2009). Retrieved 2013, from http://www.unglobalcompact.org/docs/issues_doc/Corporate_Governance/Corporate_Governance_IFC_UNGC.pdf CPE, A. (2013). Accounting Tools. Retrieved from http://www.accountingtools.com/questions-and-answers/what-is-the-purpose-of-accounting.html Education, M.-H. H. (2008). Integrity of Accounting Information. Retrieved 2013, from http://highered.mcgraw-hill.com/sites/0072996501/student_view0/ebook/chapter1/chbody3/integrity_of_accounting_information.html