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Financial accounting is used to record, summarize and report all the transactions that result from the operation of the business over some period. These business transactions are recorded and summarized in financial statements such as an income statement, balance sheet, and cash flow statement. Financial accounting is used in both the private and public sectors. There are a series of accounting principles that must be followed when performing financial accounting. The type of principle used is determined by the reporting and regulatory requirements that the company faces. For example, companies in the United States follow the Generally Accepted Accounting Principles (GAAP) when performing financial accounting.
Cost accounting can be considered as a branch of managerial accounting. It aims to record the total cost of production incurred by the company. To capture this cost, the accountant assesses all the variable costs and fixed costs of each step of production. This type of accounting is usually conducted by internal management. While fixed and variable costs are first measured individually, the input cost and output results are later compared. This aids in gauging the financial performance of the business and making informed decisions in the future. The various types of costs computed in cost accounting include direct costs, operating costs, variable costs, and fixed costs.
To ensure that the operations of the business are in line with the goals being pursued, the managers should have access to financial information. Managerial accounting identifies, measure, analyze and communicate financial information to the leaders of the organizations to help them make well-informed business decisions. This type of accounting employs many facets of accounting to furnish the quality of operation metrics information delivered to the management. Some of the information used in managerial accounting include those related to costs, sales, and revenue generated by the goods and services provided by the company. Managerial accounting with its large subset, cost accounting saves the business from unnecessary spending and maximizes profit.
Auditing is the process of examining financial and accounting records by an independent team. It is usually done to determine if the operations of the firm are in line with the set laws and principles. Almost all companies maintain accounting records to track their businesses. The accuracy of these records is verified by an audit. Auditing provides critical information regarding the integrity of the entire accounting system used by the company. It is carried out by even companies operating in sectors where auditing is not mandatory. Auditing is a good practice to have in place because it improves the credibility of the accounting information that the company used to make vital business decisions.
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Also known as a profit and loss statement, an income statement is a financial document that is used to report the financial performance of the business over a given period. We are experts are preparing an income statement while considering the revenues and expenses accrued by the business over that period.
Our urgent accounting exam help also caters to assessments based on cash flow statements. This financial statement records and communicates the net value of cash entering and leaving the organization. A cash flow statement can be used to measure how the company generates and uses its finances.
The depreciation method analyzes the decrease in the value of the assets of the company over a period. We are familiar with all the types of depreciation methods used including straight-line and declining method
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Foreign currency transactions | Accounting for liquidation | International accounting standards |
The merger of public holding companies | Governmental and non-profit entities accounting | Changing financial statements prepared in foreign and local currencies |
Consolidated financial statement | Derivatives and hedging | Intercompany transactions |
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