List of the attributes of accounting
Answers
Answer:
- Identification of financial transaction and measuring it in monetary terms,
- classifying and summarising financial transactions by preparing the final accounts in a manner which is understandable and clear.
Answer:
( in short answer ) Prepared objectively :
( in long answer) The accountant should record and report on accounting transactions from a neutral perspective, without any bias that would give the reader an incorrect impression about the financial position, results, or cash flows of a business.
Consistency of recordation and presentation : A particularly important characteristic is for the accountant to record information using a consistent application of accounting standards .
In support of decisions :
An experienced accountant will prepare financial reports that provide the specific information needed by management to reach a decision. That is, the accountant does not just issue the same boilerplate reports, month after month.
Matches reader knowledge :
The accountant should prepare reports that are tailored to the knowledge of the reader.
Reliability and completeness of information :
There should be an accounting system in place that is comprehensive enough to be able to routinely collect, record, and aggregate all transactions, so that users of the accounting information are assured that they are reading about the complete results of a business. This also means that there are no "surprises" that appear as retroactive adjustments to the financial statements.