duste Dhe Pere 1 Discuss the role of accounting as a source information (150 word)
Answers
Accounting is the management information system of any organization and is concerned with providing necessary information to the management, i.e it is a source of information. In the account, every step involves either generation or processing accounting information. It serves as a means as well as an end of providing information to all stakeholders who need information to make a proper decision.
Accounting as a Source of Information
Learn the meaning of accounting here.
Accounting serves following purposes relating to generating and processing information:-
The accounting records business transaction which is the source of generating information.
Proper accounting system makes information more reliable.
Accounting ensures it is a reliable source of information.
Accounting works as a management information system to the organization. It helps the management to manage the organization in a proper way.
Accounting system generator various information in the form of different accounts. These documents have to be to true and fair.
Accounting shows the performance of any business organization. Oil anyone who wants to know about the progress of an organization can only not through the use of accounting.
Accounting provides information on activities that affect the society.
As we know all like titles in accounting is done by a person known as an accountant. An accountant generates accounting information by observing, screening and recognizing events and transactions in the business.
He measures and processes information and compile reports comprising accounting information that is communicated to the users. Then these are interpreted and uses by management and other user groups. It is the responsibility of the accountant that the information provided must be relevant adequate and reliable for decision making