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Accounting is the process by which financial information about a business is recorded, classified, summarized, interpreted, and communicated. Accounting is the language of business.

Categories[edit | edit source]

  1. Financial accounting is a major branch of accounting that describes the collection, recording, and extraction of financial information, in order to periodically summarize profit and loss, the balance sheet, and cash flow in accordance with legal, professional, and capital market requirements. The main task is to prepare regular financial reports.
  2. Managerial accounting is the branch of accounting for internal use, to which end an organization provides information only accessible to its insiders in order to assist decision-makers. The mission of managerial accounting is to utilize, inform, and control the functions of management.

Contents[edit | edit source]

  1. Principles of accounting
  2. Introduction to accountancy
  3. The Accounting Equation
  4. Double entry
  5. Debtors (an asset)
  6. Creditors (a liability)
  7. Prepayments (an asset)
  8. Accruals (debt or credit)
  9. Depreciation (an expense)

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