Accounting

Accounting is the systematic process of recording, summarizing, analyzing, and reporting financial transactions of a business or organization. It involves tracking income, expenses, assets, and liabilities to produce financial statements (e.g., balance sheets, income statements), ensuring accuracy, compliance with laws, and transparency.

Accounting helps stakeholders—such as owners, investors, and regulators—understand financial health, make informed decisions, and plan strategically. Key branches include financial, managerial, and tax accounting. By standardizing financial data, accounting supports accountability, efficiency, and legal integrity. Forming the backbone of economic systems and business operations worldwide.

Importance, Objectives, Advantages of Ratio Analysis

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Similarly, the financial analyst should also analyze the accounting ratios to diagnose the financial health of an enterprise. In this article discussing Ratio Analysis: First Importance of Ratio Analysis, then second Objectives of Ratio Analysis, and finally Advantages of Ratio Analysis…

Financial Statements Analysis and Explanation of Accounting

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The concept of Cost Accounting explains Analysis and their Explanation of Financial Statements. Financial statement analysis is largely a study of the relationship among the various financial factors in a business as disclosed by a single set of statements and a study of the trends of these factors as shown in a series of statements…

What type of Deferred Revenue Expenditure is added to Accounting?

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The Concept of Accounting explains the type of Deferred Revenue Expenditure is added. It will be easier to understand the meaning of deferred revenue expenditure if you know the word deferred. Which means “Holding something back for a later time”. In some cases, the benefit of revenue expenditure may be available for a period of two or three or even more years.