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Why is it that recording of business transaction is very crucial in the progress and advancement of an organization yet most managers and financial officers feel reluctant to do that.?
Wiki User
∙ 16y ago
You would have to ask them for the specific reason, but one would believe it is because management and officers don't care or don't like the effect on the financial statements. Perhaps booking a journal entry to record a large transaction will have a negative impact on earnings and therefore will affect compensation, etc. Often such resistance is given a valid reason, you just may not know it, or agree with it. Without a little more detail, that's about as specific as I can get.
Wiki User
∙ 16y ago
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Why it is important to keep a record of all financial transactions?
There various reason why to recording your transaction. It helps business to see where most of their money is coming from along with what is costing them the most.
The usual sequence of steps in the recording process is to?
analyze each transaction, enter the transaction in the journal, and transfer the information to the ledger accounts.
Difference between business transaction and personal transaction?
I made a research and it says that: Business transaction is a economic activity or event that initiates the accounting process of recording it in the firm's accounting system while personal transaction means is a set of custom fields grouped together into a specific transaction type ad linked into a role. -Internet, Wikipedia
What is accounting assumption?
accounting assumptions provide a foundation for recording the transactions and preparing the financial statements there from.
Basic function of financial accounting is to?
identifying, measuring, recording , classifying, summarizing, analyzing, interpreting, and communicating
What is accountancy?
Accountancy is the art of recording, classifying, summarising and analysing the financial transaction of a business.
What is an accounting organization?
Accounting is that system which help us for written the transection in systemeticaly way. accounting is the very useful system for remmedering the such transaction,with the help of accounting we know that what is the financial position of our company & firm. in the ancent time we done that kind transaction like exchanging the things between two parties without help of money but in that transaction we find some erorr in that transaction as follows-:(1) we have to need two parties in that transaction which parties are want to exchange their things with that party which thing they want . Accounting is very nescessary for recording their firm,company's transaction for knowing the financial position of the companyor firm . in accounting we have to follow the such rules for recording the such transaction in systemeticaly way as follows: (1) materaility concept (2) matching concept (3)money measurement concept (4) separate entity concept (5) accounting period concept
What three financial statements occur during accounting cycle?
Journal- recording the transaction chronologically. Ledger _ recording the transactions in a classified and grouped . Trial balance - The balances of ledger sorted Dr. balance and Cr. Balance and grouped.
Why it is important to keep a record of all financial transactions?
There various reason why to recording your transaction. It helps business to see where most of their money is coming from along with what is costing them the most.
What is the accounting cycle?
Accounting cycle comprises all of the accounting activities, from the recording of transaction up to the preparation of financial statements, which are repeatedly performed in every accounting period.
What is the cost accounting cycle?
Accounting cycle comprises all of the accounting activities, from the recording of transaction up to the preparation of financial statements, which are repeatedly performed in every accounting period.
What is accounting according to AICPA in 1953?
Accounting is the art of recording, classifying and summarising in a significant manner and in there of many transaction and events which are part at least of financial character and interpreting the results there of.
what is the process of initially recording a business transaction is called?
journalizing
The process of initially recording a business transaction is called?
Journalizing
What is the purpose of the sale day book?
helps in recording transaction
How are journals and ledgers interrelated in an accounting system?
journals are the recording of each transaction and legders is were we post those transaction.
What does journalizing transactions mean?
It is recording the transaction, including a brief explanation.
