Accounting is often referred to as "the language of business." Explain in your own words what...

Accounting is often referred to as "the language of business." Explain in your own words what that expression means.

Solutions

Expert Solution

The expression that "accounting is often referred to as the language of business means :

Accounting is a form of bookkeeping which is related only to a business and using accounting all the records of the business are kept.
For the presentation of any organisations working, accounting is used as a common language for better understandings. There are financial statements to be prepared of an entity which represents the profitability and solvency of such entity. Such financial statements can be prepared only using accounting.

Various stakeholders and investors who are interested in a business relays on financial statements of such business. Here, accounting as a language of business plays a very crucial role in communication between such stakeholders and business.
As such any language have certain rules and regulations, accounting as a language of business also requires certain rules and regulations to be followed in preparation of financial statements of an entity. If not followed there may be fine and penalties.
Accounting requires certain Generally Accepted principles to be followed.

Further accounting is also used by the business for better understanding of its workings and financial position.

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Explain in your own words what types of ratios or measures monitoring groups often use to...

Explain in your own words what types of ratios or measures monitoring groups often use to measure whether nonprofit organizations are operating properly, and in the best interests of donors. Then, in your own words, explain why you agree, or don’t agree, that these are useful and appropriate ways to judge nonprofit organizational performance

In your own words, explain what an outlier is.

Directions Reflect on the accounting and what you learned about accounting . In your own words,...

Directions Reflect on the accounting and what you learned about accounting . In your own words, answer the following: • Summarize how you believe accounting class can helped you. • State what you found most interesting in accounting and why. • Discuss the most challenging topic or aspect of talking a accounting course. • Describe your understanding of accounting performance Explain your knowledge of accounting .

use your own words to explain how legal system affect accounting?

1.Define, in your own words, financial accounting and cost accounting. 2. Explain and give examples of...

1.Define, in your own words, financial accounting and cost accounting. 2. Explain and give examples of the similarities and differences in both. accounting.

Why is accounting called the language of business? 250 words explaination 0 0

1) Explain why p53 is referred to as “the guardian of the genome” in your own...

1) Explain why p53 is referred to as “the guardian of the genome” in your own words. Be sure to discuss its normal function, it’s role in cell signaling, and the responses to DNA damage. Then what happens in cancer? 2) Why are targeted therapies more desirable than classical cancel treatments?

Explain, in your own words, what a derivative represents geometrically.

600 -800 words. In your own words explain why cash flow budgets are useful to business...

600 -800 words. In your own words explain why cash flow budgets are useful to business leaders. Explain in details with examples.

Statistics is its own language. In fact, it is often called the language of science. Why...

Statistics is its own language. In fact, it is often called the language of science. Why do you think it is called the language of science? What does it mean to be statistically literate? Why is it important to be statistically literate? Please don't copy from chegg or anywhere

Subjects