Thursday, July 21, 2011

Importans of Account

The record of economic transaction is important in personal life , business organization social institution as well as governmental bodies too. The main benefits and the importance of  accounting are as follows :
I. knowledge on profit and loss : Due to the maintenance of the authentic record about the complete economic transaction of the firm .
II. Financial analysis and interpretation : On the basis of the systematic record ,financial condition of the firm com be analyzed interpreted .
III. Detection and prevention of errors and frauds : On account of the scientific , systematic and regular  book- keeping of the firms economic transactions , errors and frauds can  be detected and prevented .         

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