Says, Bisworanjan Nayak.
Lets start with the objective
The objective of financial accounting is to prepare accounts, trial balance, financial statements etc
The objective of auditing is to express an opinion thereon
Auditing starts where accounting ends
Auditing is the big brother of accounting
Accounting involves more numbers
Auditing involves checking these numbers
However, more math is involved in accounting
Accounting is concerned with details like transactions, account balances etc
Auditing gives usually cursory view on accounts
Accounting is a routine function
Auditing gives an opinion on this function
Accounts requires less specialized skills
Auditing requires more specilised skills
Accounting is usually less remunerative to an individual
Auding is usually more remunerative to an individual
I think this should help you to understand the job role of an accountant vis-a-vis auditor.
In conclusion, Auditing is more interesting, challenging, dynamic, remunerative than accounting in general.
Financial accounting is used to present the performance and financial statements to third parties while management accounting is used for company's internal working purpose.
Accounting is the process of recording, classifying and summarizing of the business events for the purpose of providing financial information to investors for decision making. Auditing is determining whether recorded information properly to the business events that occurred during the accounting period. Its main duties are observe, valuate and recommend the financial statement and the firm.
The major difference between finance and accounting is that, accounting is general, deals with all economic facts that occur throughout the financial year, financial is specific deals only with finances
The biggest difference is that government account is non-profit and based on funds....also called fund accounting. They do not have profits. Financial accounting tracks income and have or hope to have a profits.
Prime role of cost accounting is to calculate the cost per unit of product produce while financial accounting deals with financial reporting of company's performance.
The difference between accounting and auditing?"
The similarities between auditing and accounting is that both are concerned with keeping records of a business. The other similarity is that both ensure that the correct financial statement of a business are prepared.
Financial accounting is used to present the performance and financial statements to third parties while management accounting is used for company's internal working purpose.
Accounting is the process of recording, classifying and summarizing of the business events for the purpose of providing financial information to investors for decision making. Auditing is determining whether recorded information properly to the business events that occurred during the accounting period. Its main duties are observe, valuate and recommend the financial statement and the firm.
An error represents an unintentional misstatement of the financial statement. it may be material or immaterial. fraud represents an intentional misstatement of the financial statement which can be material or immaterial.
One basic difference between managerial accounting and financial accounting is that managerial accounting is used internally instead of externally for investors. Managers use managerial accounting to determine what level of output is appropriate for their departments.
The major difference between finance and accounting is that, accounting is general, deals with all economic facts that occur throughout the financial year, financial is specific deals only with finances
The biggest difference is that government account is non-profit and based on funds....also called fund accounting. They do not have profits. Financial accounting tracks income and have or hope to have a profits.
DISTNGUISH between finance, management accountant and financial accounting
Prime role of cost accounting is to calculate the cost per unit of product produce while financial accounting deals with financial reporting of company's performance.
They are the same; in the financial year we earned income.
Accounting is a listing of all financial transactions, and there will be a correspondence with bank statements. Auditing is a check by an independent person or company that has no other financial interest in the first company etc to check nothing illegal or against accounting principles has occurred. Companies usually carry out their own internal audit first, but that doesn't count for much legally.