Purpose of Accounting

         Significantly appreciate, evaluate how accounting helps to make decisions that affect to stakeholders and societal needs in complex environment.      Each company needs accounting because it offers data that is employed in the decision-making process. When making strategic decisions that have an impact on stakeholders and societal demands in a complicated environment, accounting information is essential for generating insights into a company's financial condition and performance. Stakeholders are people or organizations with an interest in a company's performance, such as shareholders, clients, staff, vendors, and the general public. Accounting gives interested parties pertinent information about the organization's financial situation, including its profitability, liquidity, and solvency. Making investment decisions, assessing the company's creditworthiness, and assessing its capacity to pay dividends or make other payments to shareholder...

  Evaluate the context and purpose of the accounting function in meeting organizational, stakeholder and societal needs and expectations. While making decisions and addressing the demands and expectations of stakeholders and society, accounting is essential. The accounting function's performance in fulfilling these duties is critiqued in the sections that follow. Informing Decision Making The key source of information for making decisions is accounting information. Stakeholders may learn about an organization's financial status, performance, and health via its financial statements. Accounting data does have certain drawbacks, such as its historical character and emphasis on financial data. The activities and prospects of a company may not always be fully depicted by accounting data. As a result, in order to make wise judgments, decision-makers must combine accounting information with information from other sources   (Park, 2001) .   Meeting stakeholder needs Accou...

Issues of ethics, regulation, compliance and the extent to which they are constraints or threats to the organization.    What is an Accounting Standard Accounting standards increase financial reporting's openness across the board. The commonly used set of accounting standards for creating financial statements in the US is known as generally accepted accounting principles (GAAP). The International Accounting Standards Board (IASB) has established the International Financial Reporting Standards (IFRS), which are used by international businesses that report financial accounts and are not subject to U.S. GAAP. In the United States, both public and private institutions frequently apply widely accepted accounting standards. Most of the rest of the world employs IFRS. The use of these standards is needed by multinational organizations. When creating financial statements, the International Accounting Standards Board (IASB) creates and interprets the accounting standards used by the ...

The purpose and scope of accounting in complex operating environments the main branches of accounting and job skillsets and competencies  What is Accounting “Accounting may be defined as the collection, compilation and systematic recording of business transactions in terms of money, the preparation of financial reports, the analysis and interpretation of these reports and the use of these reports for the information and guidance of management.”             - A. W. Johnson states-   “Accounting is a service activity. Its function is to provide quantitative information, primarily financial in nature, about economic entities, that is intended to be useful in making economic decision.”             - Accounting Standards Council (ASC)-   Accounting, which is frequently referred to as simply "accounting," is the process of gathering, analyzing, and dissemina...