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Accounting

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it's about accounting

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									                              ACCOUNTING


What is Accounting?


Definition of Accounting
       Accounting is a process of recording, classifying, summarizing, processing
and presenting data, transactions and events relating to the finances so that it can be
used by people who use it easily understandable to a decision-making and other
purposes.
       Accounting comes from foreign accounting, which means when translated into
Indonesian is count or account. Accounting is used in almost all business activities
around the world to make a decision that is referred to as the language of business.


Accounting functions
       The main functions of accounting are as an organization's financial
information. Of the accounting statements we can see the financial position and its
organizational sutu changes occurring in it. Accounting is made qualitatively by a unit
of measure of money. Financial information is needed especially by the manager /
management to help make decisions of an organization.


Basis of Accounting Reports
       Basically the accounting process will make the output of the income
statement, statement of changes in capital and balance sheet reports a company or
other organization. On an accounting report must include company name, report
name, and date of preparation or time period of the report to facilitate other people
understand it. Reports can be periodic and there is also a one time only.


       Accounting practitioners are known as accountants. Certified accountants have
a certain degree different in each country. An example is a Chartered Accountant
(FCA, CA or ACA), Chartered Certified Accountant (ACCA or FCCA), Management
Accountant (ACMA, FCMA or AICWA), Certified Public Accountant (CPA) and
Certified General Accountant (CGA). In Indonesia, a certified public accountant CPA
called Indonesia (previously: BAP or Certified Public Accountant).
       Accounting is the measurement, translation, or provision of assurance about
information that will help managers, investors, tax authorities and other decision
makers to make resource allocation decisions within companies, organizations, and
government agencies. Accounting is the art of measuring, communicating and
interpreting financial activity. Broadly, accounting is also known as the "language of
business".
       Accounting aims to prepare an accurate financial statements to be used by
managers, policy makers, and other interested parties such as shareholders, creditors,
or owners. Daily record keeping involved in this process is known as bookkeeping.
Financial accounting is one branch of accounting in which financial information on a
business is recorded, classified, summarized, interpreted, and communicated.
Auditing, a related discipline but remain separate from the accounting, is a process
where an independent inspector to check the financial statements of an organization to
provide an opinion or opinions - which makes sense but not guaranteed to be
completely - about the fairness and compliance with generally acceptable accounting
principles. Accounting is derived from foreign accounting, which means the count or
account.
       Almost all business activities around the world use this word to make a
decision, which is often referred to as the language of business.
       Definition of accounting is a process of recording, classifying, summarizing,
processing and presenting data, transactions and events related to finance, so it can be
used by people who use it easily understandable to a decision-making and other
purposes. The main functions of accounting are as an organization's financial
information, so we could see the financial position of an organization along with the
changes that occur in it. It is made qualitatively by a unit of measure of money.
       Financial information is needed especially by the manager or management to
help make decisions of an organization. Basically, the accounting process is to make
the output of the income statement, statement of changes in capital and balance sheet
reports a company or other organization. Therefore, in each report must include
company name, report name, and date of preparation or a period of the report to
facilitate other people understand it. Reports can be periodic, can also be a certain
time. Accounting has a process consisting of the stages to be able to produce the
desired reports and performed by accountants.
        Clarify Process Transactions
        Initial stage is to conduct a transaction division of an organization or company
in certain types predefined. Examples such as split transactions into the sales,
purchasing, cash disbursements, cash receipts, etc. into each piece. As for the small
number of transactions and rarely can both put in the same category as the type of
miscellaneous transactions.


        Interpreting and Reporting Process
        Last accounting process is to manufacture the conclusion of the activities or
the work of prior financial statements. All things related to poured on the company's
financial statements. Of information or financial statements, in the form of income
statement, statement of capital and balance sheet, then one can find out what happens
to a company, whether it is in accordance with company objectives. Such information
may be a reference or guideline for the management to take policy decisions on
corporate organizations to achieve the desired conditions.


        Process Recording and Summarizing
        The next process is to perform accounting records. Enter transactions in
journals that have the right to order the transaction occurred or what happened.
Sources that can be used as evidence of the transaction such as business papers such
receipts, bills, notes, receipts, certificates, and so forth.
        Journals that generally exist in the accounting journals such as the sales
journal, purchases journal, cash receipts journal, cash disbursements journal and
general ledger. The next step is to enter into a ledger journals on a regular basis.
Transfer the results into the general ledger will be seen from the summary trial
balance.
        Bookkeeping and accounting purposes is to provide information regarding the
financial affairs of a company or business. This information is vital to know the
business owners themselves, managers, creditors, and government agencies.
        Understanding of the principles of bookkeeping and accounting is essential for
anyone interested in accounting, even essential for anyone who wants to succeed in
business.
       So in brief we can say that 'Accounting (bookkeeping) related technical tasks
such as recording transactions, and functions of an accountant is to interpret the data
generated by use of the bookkeeping process.
       A person who made a living by recording the financial activities of a business
or business employee, known as bookkeeping (bookkeeper), while the process of
classifying and summarizing business transactions and interpreting the effects of the
transactions carried out by an accountant.

								
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