Question

Why is accounting concerned with communication?

Answer 1

Effective communication skills are very much required in every domain of the business and the same goes for accounting. If an accountant possess such skills then only he will be able to communicate his ideas and financial information to other employees of the company.

Answer 2

Accountancy is the language of business. its main object is to deter mine profit or loss and to show financial position of a business on a specific date. On the basis of financial accounting only the world comes to know about the working of an organisation and its financial status. so preparation of financial account is the means to tell the financial position of the business to outside world. this is the importance of accountancy incommunication of business position.