Accounting and Bookkeeping

Question 1

List responsibilities of an accountant

Answer 1

Provide reliable and relevant information
Auditing
Introduce accounting procedures to businesses
Prepare financial statements
Analyse financial information
Financial advice for businesses
Produce budgets
Ensure statements and tax is submitted on time

Question 2

Management accounting

Answer 2

Focuses on planning, control and decision making within the business.
Information is used internally by managers and senior employees to make decisions

Question 3

Financial accounting

Answer 3

Using historical information to prepare financial statements

Question 4

Describe the role of a bookkeeper

Answer 4

Recording day to day transactions
Maintaining accounting records
Entering transactions in the BoPE
Checking the accuracy of records

Question 5

Why should you keep accounting records

Answer 5

To quantify items such as sales showing what has happened in the past
To record amounts due from TR and to TP
Reduce risk of fraud
Enables production of financial statements
Production of forecasts
Monitor performance
Provide information to the owner