Question

what are the functions of accounting..please answewr cleary and step by step solutuion .

Answer 1

Ans. Function of Accounting are :-

1. Recording : Recording the financial transaction and maintains a journal to keep them all.

2. Classification : The second function of Accounting is to classifying and seperate the records and ledger.

3. Summarizing : The Preparation of brief summary takes place for quick reviews.

4. Finding net results : The most important function is to gives net results other than just keeping the records.

5. Exhibiting financial affairs : In this function of Accounting there is to preparation of Balance sheet takes place to determine the financial position of the business.

6. Analyzing financial data : The analysis of data and records then used for other purposes.

7. Communication : The last function of Accounting is to communicate obtained financial information to the interested sectors, for instance, owners, supplier , Goverments, Researchers etc..