book-keeping is synonymous to accounting. analyse this statement
Answers
Answered by
27
Book-keeping :-
Book-keeping is an art of recording in books of accounts the monetary aspect of commercial or financial transactions. It is mainly concerned with record keeping or maintenance of books of accounts.
Accounting :-
Accounting is systematic and comprehensive record of financial transactions pertaining to a business, and it also refers to the process of summarizing, analyzing and reporting these transactions to oversight agencies and tax collection entities. Accounting is one of the key functions for almost all businesses.
Although book-keeping and accounting both involve the process of recording the financial transactions of a business, but both are two different terms. Book-keeping is the process of recording the daily transactions of a business entity in chronological order. It forms part of the accounting information system.
On the other hand, accounting is an information system that includes the process of recording, classifying, summarizing, reporting, analyzing and interpreting the financial condition and performance of a business in order to communicate it to stakeholders for decision making related to their business.
Book-keeping and accounting are inter-related but book-keeping is just a part of accounting and accounting has a wider role than book-keeping. Hence, book-keeping is not synonymous to accounting.
Book-keeping is an art of recording in books of accounts the monetary aspect of commercial or financial transactions. It is mainly concerned with record keeping or maintenance of books of accounts.
Accounting :-
Accounting is systematic and comprehensive record of financial transactions pertaining to a business, and it also refers to the process of summarizing, analyzing and reporting these transactions to oversight agencies and tax collection entities. Accounting is one of the key functions for almost all businesses.
Although book-keeping and accounting both involve the process of recording the financial transactions of a business, but both are two different terms. Book-keeping is the process of recording the daily transactions of a business entity in chronological order. It forms part of the accounting information system.
On the other hand, accounting is an information system that includes the process of recording, classifying, summarizing, reporting, analyzing and interpreting the financial condition and performance of a business in order to communicate it to stakeholders for decision making related to their business.
Book-keeping and accounting are inter-related but book-keeping is just a part of accounting and accounting has a wider role than book-keeping. Hence, book-keeping is not synonymous to accounting.
Answered by
12
Despite the fact that they both include the way toward recording the money related exchanges of a business, accounting and bookkeeping are two distinct terms.
Accounting is the way toward recording, in the sequential request, the day by day exchanges of a business element. It shares some portion of the bookkeeping data framework.
Then again, bookkeeping is a data framework – incorporates the way toward recording, grouping, outlining, detailing, breaking down and deciphering the money related condition and execution of a business – keeping in mind the end goal to impart it to partners for business decision making.
Accounting is the way toward recording, in the sequential request, the day by day exchanges of a business element. It shares some portion of the bookkeeping data framework.
Then again, bookkeeping is a data framework – incorporates the way toward recording, grouping, outlining, detailing, breaking down and deciphering the money related condition and execution of a business – keeping in mind the end goal to impart it to partners for business decision making.
Similar questions