why i love accounting essay

why i love accounting essay

The Benefits of Accounting

1. Introduction

Accounting records are valuable to the future success of any type or size of business or non-profit organization. Regardless of the entity or its size, accounting is the most significant element. These records are a planned, systematic, patterned approach in capturing, recording, classifying, and reporting an organization’s financial transactions. Daily, weekly, and monthly, organized graphs, totals, and reports are prepared. To accomplish this, the 21st-century business requires more sophisticated, complex, and detailed accounting. Fundamentals in the business process are transformed, expanded meticulously, and requiring to be of higher quality.

Accounting is not only the language of business, but it is vital in the effective functioning of a nation’s entire economic system. Although accounting is revered as the world’s most useful language of business, it is not only about the world of business, but the entire world. To be an integral part of any business is to be of utmost significance to the global community. Generally, accounting is paramount in the creation, maintenance, and adjusting of business or an organization’s “reliable”, informative data and reports. These useful reports are communicated to the business owners, shareholders, employees, government, banks, subsidiary organizations, professional partners, and, of course, to the public.

2. Section one: The Importance of Accounting

It is hard to overstate the importance of the role played by accountants and accounting in today’s finance-driven and information-based economies. No less fundamental are the debatably more mechanical roles played by accountants in determining the composition of the balance sheet, the form of the income statement, and the content and structure of the notes that accompany financial reports. In its most basic function—from which all other accounting functions ultimately stem—this may be regarded as producing detailed and internally consistent financial statements that reflect the underlying economic activities of the firm, the pattern of the firm’s assets, liabilities, and owners’ equity, and current and future opportunities and risks.

Although the full range of potential accounting benefits is only partially understood at present, the purpose of this paper is to suggest what some of the others are. These suggestions come from a variety of sources. Some are motivated by well-established principles of accounting, some are rooted in careful economic analysis, and still others stem from more speculative extensions of accepted theories. In all cases, these suggestions lend themselves to testing through the use of methods and research designs already well established in the literature. This suggests that at least some of the potential accounting benefits discussed in this paper may prove to be actual ones in the relatively near future.

The first and most fundamental of these is that accounting provides information essential to investors and creditors in making decisions regarding the allocation of resources. Second, and no less fundamental, is the role that accounting plays in monitoring management and motivating contract compliance by employee-managers at all levels.

3. Section two: Career Opportunities in Accounting

The scope of career opportunities available in the accounting field is much wider compared to other job opportunities. Students who have accounting skills can work in several fields such as education, manufacturing, as well as other fields that require accounting applications. Innovations have been made in the accounting branch to make sure that there are enough professionals who are qualified. Some of the accounting branches include tax, auditing, finance, and network development, which offer different opportunities to the students. Currently, there are several colleges that are offering the accounting major as well as other computer applications that can help the students to major in the required accounting applications. Be that as it may, it is difficult to major in more than one accounting application since the accounting major is costlier and time-consuming than any other business major. In addition, accounting has continuously been changing both practically and educationally, especially in turner fields such as government and healthcare.

Accounting is an important aspect for any business, which involves a lot of business activities such as auditing and tax accounting. It is also an important field of study for students. Just like other fields of study, accounting principles have been evolving from time to time. In addition, the academic and professional opportunities for students in the accounting field have been enhanced. One of the main steps that have been taken to uphold the demand for professionals in the accounting industry is an innovation of the accounting career. As a result, the accounting course is among the most respectable causes of study because of how rewarding it can be to students.

4. Section three: The Role of Accounting in Decision Making

Section title: 3. Section three: The role of accounting in decision making There are three main types of decision: strategic, tactical and operational. These are completed by different people and require a large volume of information acquired by one or several sources of data. Internationally, accounting occupies a significant place in the field of information, and this is no different in Cameroon. Accounting provides decision support and is a decision-making tool by organizing and presenting data in a structured way through the financial situations read by different interlocutors in their financial statements. Accounting provides this information as soon as possible through management accounting techniques, while financial accounting provides information to different executives and any other person outside the company. Like most of the classic businesses, accounting provides information for decision-making, which is why it is described as a corporate management tool, an information exchange tool, a communication tool, and a decision support tool by reporting expert results of a specific model discipline.

With a good understanding of accounting and a good knowledge of IFRS, we can analyze and interpret all the accounting messages expressed through financial statements. We can efficiently merge the analysis with accounting knowledge in the other economics and financial dimensions. It is also possible to assess if the accounting has been correctly determined when we have a good understanding of the economic and financial benefits of the various accounting principles frameworks. In the same vein, we can analyze the accounting measures created and used in all types of logic games and, in reverse, distinguish the strategies put in place by certain types of trends by questioning the way accounting is used in the creation of these communication measures.

Accounting plays a major role in the field of finance and business. In every organization, accounting is done. This is because accounting plays a vital role in decision making, meaningful communication, profits, efficiency, determination of financial conditions, evaluation, credit rating, and many more. Thus, accounting facilitates trade, capital markets, exchange rates, financial and monetary stability, international divisions of labor, and organizations. So, both from an economic and a financial perspective, we can confidently affirm that accounting is the language of business. Business language in this sense is obviously an international language. This means that any business in any part of the earth using any language can express its operations using the universal language of accounting.

5. Conclusion

In a nutshell, effective accounting constitutes the basis of a successful business. At the present moment, the role of the accountant is becoming more and more oriented towards counseling. Partnerships as well as joint-stock companies are seen as entities in continuous and dynamic relationship with their external and internal environment. To conclude, I suppose accounting can provide much objective information that may support business actions. As we know, accounting is considered to be a main tool to examine the activity and the evolution of any entity.

The role of accountants in any organization is to organize financial data, record data in a way that businesses can find out the totals of all the transactions made, and also ensure the information is properly categorized and authorized. The roles of accountants are not just only to record the financial data transaction, but also help in future predictions and are also involved in interpreting the data for communicating and making the right decisions. The objective of this work is to present and explain the need and benefits of accounting. This article serves as an overview of financial accounts, specifically focused on the business and scope of accounting, and defines for the reader describes the types, users, and importance of financial accounting. In addition, it discusses the computer in accounting information systems and how accounting information can help you and the importance of accounting.