The Importance of Financial Accounting
Financial Accounting is a branch of accounting that records all matters related to financial position, financial performance (income statement), and cash flows of the enterprise in accordance with certain accounting standards. Here is the importance of financial accounting for all parties concerned with the institution, which will be explained in detail below. What are the Functions of Financial Accounting? These functions are: Identifying, processing and processing financial transactions, such as sales, purchase, payment, and service delivery. Measuring the financial value of those operations: ie knowing the value of cash corresponding to each of those operations separately. Recording results: Any documentation of all that has been identified and measured in accounting records, taking into account accuracy ,and history. Delivery of results: the most recent and important function of financial accounting functions, which means summarizing results previously recorded in ...