Accounting cv example, To learn what accounting means, we need to talk about the definition of accounting. We can say that the definition of accounting is a science that classifies, summarizes and reports the monetary transactions of firms.
A more detailed definition of accounting will explain accounting better. The detailed definition of accounting is only more detailed.
Definition of accounting: It is a discipline that records, classifies, summarizes, reports and reports financial transactions of all institutions and organizations engaged in commercial and economic activities.
The definition of accounting also answers the question “what is accounting”. Actually, we can understand what accounting is and what it does from the definition. Knowing the terms in accounting will enable us to understand accounting better.
We can say that accounting is the system that explains the formation of the assets and resources of the enterprises, the way they are used, the changes in the results of the transactions and convey the details to the relevant people and institutions.
Accounting has certain functions to fulfill its duties. These can be listed as recording, classification, summarizing and reporting.
Posting: It is the recording of financial transactions of businesses. When the records are not kept accurate in accounting, other functions will not matter. Every transaction must be recorded in the accounting system. These records are based on documents. There are two types of recording methods, one-sided recording and two-sided recording.
Classification: It creates the process of grouping the recorded information at certain times. Many transactions are collected in certain groups and provided convenience. Classification process is done in the big book.
Summarization: The data of the classification process is summarized for the convenience of obtaining results. Enterprises have a lot of transactions at the end of the period and they are summarized for convenience because they are difficult to analyze and summarized.
Reporting: It is the final and final stage of accounting. Reporting is the final stage of analysis and commenting of the accounting system. Firms With these reports, new decisions can be made about the future of businesses. In the reporting stage, balance sheet and income statement are used from the accounting tables.