Fundamental of
Basic Accounting
WHAT IS ACCOUNTING?
Accounting is simply part of our daily lives. Wherever we go or whatever
we do, Accounting is part of it. But in the line of business, accounting is the
language of business. The business uses accounting to set goals, measure
results and evaluate its performance.
WHAT IS ACCOUNTING DEFINED BY AAA (AMERICAN ACCOUNTING
ASSOCIATION) ?
The American Accounting Association defined Accounting as a process. It is
a process to identify, measure, and communicate that relates to economics to
allow judgment and decisions to be made by the users of the information.
ACCOUNTING PROCESS BY AAA:
IDENTIFYING
RECORDING
EVALUATING
SUMMARIZING
1.
2.
3.
4.
WHAT IS ACCOUNTING DEFINED BY AICPA (AMERICAN INSTITUTE OF
CERTIFIED PUBLIC AACCOUNTING ) ?
The American Institute of Certified Public Accounting defined Accounting
as an art. Is an art in the aspect of the methods it uses to handle money,
events, and the transactions. It displays the significant ways of recording,
summarizing and classifying.
