Introduction To The Role Of Accounitng In Business

Question 1

What is financial accounting?

Answer 1

Accounting that is focused on the summary, analysis and reporting of financial transactions relating the business

Question 2

What is the purpose of financial accounting

Answer 2

To accurately prepare a companies financial accounts for a specific period

Question 3

What is management accounting

Answer 3

When managers use accounting information in decision making

Question 4

What is the purpose of management accounting

Answer 4

The purpose of management accounting is to maximise profit and minimise losses

Question 5

What is the difference between financial and management accounting

Answer 5

Financial accounting is he collection of accounting data to create financial statements lie managerial accounting is the internal processing used for business transactions

Question 6

What are the responsibilities of an accountant within a business

Answer 6

performs financial functions related to the collection, accuracy, recording, analysis and presentation of a business, organization or company’s financial operations

Question 7

What is the role of an accountant

Answer 7

Develop and oversee accounting information systems to provide reliable and relevant information for both financial and management purposes