Question

Discuss both Finance and Accounting by indicating areas of where they are the same and different. What are the major points of both Accounting and Finance.

Answer 1

First you should know what is accounting basically accounting is the process of recording financial transaction pertaining to business . the accounting process includes Ananlysing , classifying , recording , summerising and reporting the transaction in a prescribed manner.

What is fianance: Finance is basically how mangement acquire economic resources for the company in best ooptimum manner and mnangement of same time to time . it also includes how company invest the money in hand to get maximum .

Accounting is a part of finance but finance is not a part of accounting.

Accounting tools includes Income statement , balance sheet , cash flow statement etc . whereas Finance tool includes Risk analysis , capital budgeting , ratio analysis , Leverage working capital management.

Areas where account differ finance : there are 12 major areas of finance inludes : Financial accounting , managerial accounting Cost accounting, budgetary accounting , Auditing and assurance service , tax accounting , Govt accounting, NPO , forensic accounting , international accounting , Accounting information system, Accounting education.

whereas the main areas of Finance are:Carrer in retail and comerccial banking , commercial finance , corporate finance , Financial market and institution , investment .

Similar areas of finance and accounting when it deals for corporate finance and corporate accounting where we can considered it as part of each other while dealing with finacial statement.