The Impact Of The Positive Impacts On Accounting Practice

Accounting is the methodical and full recording of financial transactions relating to a business, and it also denotes to the procedure of briefing, examining and evaluating these transactions to cross checking agencies and tax collection agencies. Accounting is one of the key purposes for nearly any company. It may be done by an auditor and accountant at small businesses or by substantial finance subdivisions with lots of employee’s at

The purpose of accounting is to record the financial information, such as transactions and performance, related to a business. The accounting profession has been in existence for as long as business transactions have occurred. It wasn’t until 1494, however, when Luca Pacioli, a Venetian merchant, wrote Summa de Arithmetica, Geometrio, Proportioni et Proportionalita. His writings described a two-entry system of debits and credits, which became the basis for modern accounting systems. Three centuries later, with the emergence of the Industrial Revolution and the development of corporations, the profession of being an accountant became a necessity to keep track of the rising costs and cash flows. As a result, the American Association of Public

Accounting is the study of how businesses track their income and assets over time. Accountants engage in a wide variety of activities besides preparing financial statements and recording business transactions. These activities include computing costs and efficiency gains from new technologies, participating in strategies for mergers and acquisitions, quality management, developing and using information systems to track financial

There are three kind of financial statements for companies which the content reflected different information. Among them, the first is the balance sheet, this statement reflects the financial situation of enterprises. For example, some of the listed companies wants to reflect good financial position in the statement, they will want to increase total assets, decrease accrued total liabilities, and then of course increase owners ' equity, making investors mistakenly believe the company has great investment value, thereby misleading public opinion and investors. Beside the balance sheet the other two financial statements are the income statement and cash flow statement. These two statements reflect the business situation of enterprises. The income statement is an important indicator to measure the performance of listed companies, it is closely related to the allotment and the profit. Therefore, in order to increase the profits of listed companies, they will have to Increase revenue, earnings, decrease expenses, costs and losses (Temte, 73). It helped increase tax evasion, embezzlement and other economic criminal activities. A large number of cases being investigated, all related to the accountants making the fake accounting entries. Therefore, the accounting credibility loss has restricted the development of the market economy. In a business, accountant often times handle the tax problem, so if

This article talk about the revolution in accounting. The revolution in accounting through five different stages, there are scientific revaluation, accounting disciplinary matrix, anomalies and professional insecurity, alternative proposals and their evaluation and schools of though. For the first stage, scientific revaluation become the fundamental of the accounting revolution. It provides the technical function to accountants as it promote the academic paper works to a more efficient way. Base on the revaluation of scientific, the information about accounting records become more regular pattern. Therefore, the rule of accounting getting more complete and internationalization. After the disciplinary matrix established up, the anomalies and professional insecurity also changed. Rely on the conventional accounting practices the anomalies and professional insecurity has changed a lot. The accountants’ practices used to be critics. However, it turned to level practices. After the revolution of all above, alternative proposals has changed. For example, the asset values used to be based on the historical cost system, but after the alternative proposals and their evaluation, it could be have another way to

As the complexity of our financial economy develops it is important that our accounting standards progress in accordance. Accounting is very important to the development of the global and local economies. Accounting is basically the gathering, summarizing and presenting of financial information of an entity to interested internal, external and possible investors. This information should be presented in a non-bias way so that other people are able understand.

In this essay arguments for capitalism as the dominant economic system, and the role that accountants can play in improving this system is discussed. Capitalism is defined as “An economic and political system in which a country's trade and industry are controlled by private owners for profit, rather than by the state. ‘an era of free-market capitalism’ “ (Anon., 2017).

Ashley said that job opportunity is the biggest advantages of this field. She explained that accounting opens doors in every kind of business. It can prepare you to become a partner in an accounting firm, to pursue a career in finance or corporate management, to work in government, or even to become the Chief Financial Officer of a company. In fact, no matter what happens whether we are in a recession or not, accountants can look forward to a stable career. People still need to get their taxes done, companies still need to have financial reporting, and if they don’t have accountants their record keeping and their books will fall to the wayside.

To over view the knowledge we learnt from accounting theory and practice, the main thing I can conclude that is the tendency of accounting will shift away from technical way to people’s behaviour way. By understanding what should do, we should ask why and how we could improve and change it into a better way. This essay aims to explain how the theoretical material that we learn in lectures can be developed under a real practical manner.

The study is important because it examines the role of ethics in accounting. The research on identified problems is necessary due to vagueness of ethics concepts and its difficulty to

Accounting has become a more interesting and attractive position among the millennials due to the high demand in the industry after the Enron fraud scheme in the early 2000’s. It has also become a more interesting field due to the how the profession’s involvement and characteristics have changed since the incident as well. Accountants used to be known to be bean counters, characterised to be introverts, simply keeping track of companies’ financials. In recent years, there has been a shift from profession in which accountants

Accounting transactions are professional occasion that has either a positive or negative budgetary impact on the financial statements. One impact of transactions in a financial statement will increase or decrease the accounts contingent on the transaction that has taken place. The history of revenue that has come or gone from the business will be shown on both financial statements and accounting transactions. Many businesses make several transactions daily. Errors can have a negative impact on financial statements, because the facts come from the accounting transactions

Before 1970s, most of accounting research were based on deductive-normative – and not positive – approach. The biased perspective of accounting journals of the time were so prevalent that they did not accept articles of positive approach for a long time. In the late 1970s and early 1980s, a new type of theory was introduced and was based on a new research method which had been conducted by the accountants in the “Rochester High School of Accounting”. This new theory was called "Positive Accounting". Positive accounting was not only developed rapidly but also achieved prevalent rule in accounting journals. Despite the field of finance, positive accounting research projects were not based on their own theories, but on neo-classical economic theories,

The definition of accounting theory according to Coetsee (2010) is described in two different ways. The first philosophy concludes that accounting theory is a set of general principles that guide the evolution of accounting practice. The other philosophy describes accounting theory as activity of explaining and predicting accounting practice. What the viewer can see from the statement of the first philosophy is that the accounting theory exists before accounting practices meanwhile the latter states that the accounting practice exists before the theory. Since there are many arguments about this matter, many academic researchers have concluded that accounting theory can be divided into two categories which are positive and normative theory.

Accounting is the language of business. It is a profession that is being guided by principles, concepts, conventions, laws, etc. All these fundamental building blocks serve as common and general compasses to all practitioners of the profession. In some cases, they are nation-wide tailored, while in other cases, they are universally tailored. Accounting as a living, practical, dynamic and realistic profession covers so many areas of social, economic (business), and governmental activities. Surely, any endeavour that involves monetary and material activities create a room for the services of Accounting. Many of the human endeavours for which the accounting profession plays significant (some times inevitable) roles include; Banking, Insurance, Manufacturing, Farming Contracting, Oil and Gas, Mining, Transportation (Air, Land and Sea), Educational Institutions, Churches, Ministries, ICT, Hire Purchase, Local Government Authorities, Estate Businesses, Export and Import Businesses, Bill of Exchange Transactions, Royalties Transactions, Consignment Transactions, Stock Market Transactions, Sports, Entertainment, Hospitals and Hospitality Industry, etc.