Why is accounting important in business

[Psalmsavatar]

To run a business you need data, records, reports, analysis, accurate information about assets, debts, liabilities, profits; and that is why Accounting is Importance for any business activities.

 

[Sariana23]

Doing business without accounting is just going into dark and blind business. How can can you be into a business without knowing if you are making profit or lost. Account is very important and vital in every business, so as to ascertain tour profit or lost.

These words I liked @Ogbest , "business without accounting is simply going into dark and blind business." because it is reality. It is being financially blind, you do not know how much money comes in or how much goes out, much less what the profit is. It is when you get bankrupt for spending what is not owed.

 

[Jlife]

there are a lot of benefit of accounting in any business one is going into because it is with the help of accounting that the managing department of that particular organisation will understand the inflow and outflow of goods and services and he can give you and understanding of the level of demands and supply.

 

[Abdul Naveed]

Business accounting is the systematic recording, analysis, interpretation and presentation of financial records. ... Accounting helps business owners meet their compliance obligations. It also helps them make great decisions with their money.

 

[Noor khan]

Accounting is very important in business because without giving account of business it can not function very well,in business you need account to no if you gain or lose,also in business you need to know if you are not losing because losing is not good, business without profit is useless

Yes you are right it's basic need of growing business by accounting and. You can find the right way of accounting through social networking and experienced people too.

 

[kayode10]

Accounting is very important in business because without giving account of business it can not function very well,in business you need account to no if you gain or lose,also in business you need to know if you are not losing because losing is not good, business without profit is useless

Accounting is very important as it will help us to see the health status of your business through cash flow. It is very paramount to take accounting of every penny that goes out and comes in into the business. Accounting will give you a chance to read the figure and to know if business is a growing or declining.

 

[Adil]

Accounting plays a vital role in running a business because it helps you track income and expenditures, ensure statutory compliance, and provide investors, management, and government with quantitative financial information which can be used in making business decisions.

 

[nasiusman95]

It all started in 2016 with the aim to support Small, Medium & Micro Enterprise Businesses in South Africa to grow and be sustainable, to remain an important link in creating much needed employment and continue to alleviate poverty and encourage economic activity. We provide more than traditional accounting, auditing and tax services. We thrive on solving problems, reducing tax liabilities, easing the financial and tax audit process, managing and planning for growth, and preparing for the future. We shape strategies and strengthen operations for companies.
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The term accounting is very common, especially during tax season.

But before we dive into the importance of accounting in business, let’s cover the basics – what is accounting?

Accounting refers to the systematic and detailed recording of financial transactions of a business. There are many types, from accounting for small businesses, government, forensic, and management accounting, to accounting for corporations

 

[KvngMurphy]

Accounting plays a vital role in running a business because it helps you track income and expenditures, ensure statutory compliance, and provide investors, management, and government with quantitative financial information which can be used in making business decisions.

 

[Ridwan Mohammed]

Accounting itself is an important part of the financial management of the company, there is control of expenses and income that keep the finances of the business standing. When the control is correctly accounted for, it is possible to be clear about unnecessary expenses and the reality of the assets.

Accounting is very important in business since it helps to keep records of day to day activities. For a successful business, Taking account is extremely important.

 

[Sariana23]

Accounting is very important in business since it helps to keep records of day to day activities. For a successful business, Taking account is extremely important.

It's the right word @Ridwan Mohammed , it keeps track of daily activities. There are companies that accumulate expenses and income to carry out the accounting on the weekend or the month, but it is recommended and correct that at the end of the day they carry out said registration. In this way they do not accumulate work and are aware of the available capital.

 

[Kennysplash]

If you have a business you need to take care of the accounting department. It is very important because it is the main backbone of the business. If it is not handled well the business might not function well.

 

[Abisola]

The term accounting is very common, especially during tax season.

But before we dive into the importance of accounting in business, let’s cover the basics – what is accounting?

Accounting refers to the systematic and detailed recording of financial transactions of a business. There are many types, from accounting for small businesses, government, forensic, and management accounting, to accounting for corporations
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Unless you want IRS penalties and audits, you know you have to do it. Without it, you wouldn’t know your business’s financial health. Your business decisions would be shots in the dark. We’re talking about accounting, of course.

So, how does accounting protect your business, gauge its health, and help you make decisions? In short … why is accounting important in business? Let’s count the ways.

 

[Taimoor Jutt]

When its come business then our mind pick one thing amd that is calculations. So accounting comes after calculations. So it very necessary to have an account for your business and every business deals with accounting. So nothing new in it.

 

[solomonmali]

Important of accounting can not be over emphasis in business,it helps to determine the strength and weakness of the business organization, accounting also helps to review the inflow and outflow if money in the organization. It’s review the revenue and expenses.

 

[Pauljonnes1000]

Accounting is very important in business both small and large scale business. It help to determine the liability, profitability, micilenious, money at-hand, money not yet received and so on. Accounting is the language in which business can be communicated. You can relate with other people in business only with this accounting language.

 

[maventiger]

Accounting department in any organization plays a major role in ensuring the finance of a company, procurement and receipts are well managed. It functions are always in line with the purpose of the company when a certain amount of financial commitment is estimated.

 

[Adegbindin Abdullahi]

Accounting plays an important role on running a business because it helps you track income and expenditures, ensure statutory compliance and provides investors,management and government with quantitative financial information which can be used in making business decisions

 

[Alexandoy]

Accounting is the laying out of the numbers that is the sale, the purchases, the expenses and any other transactions. The accounting creates the balance sheet from the transaction ledger and later would result in the computation of the net profit. If you have no accounting system then your business will be moving but you are in the dark if the business is earning or not. You can only have hints like holding excess cash on hand but you do not have the exact figures that the accounting can produce.

 

[Robrown83]

Accounting is a process of recording the financial transaction of a business. So, anything relating to financial aspect of any business must be accounted for. That is the buying and selling of a product. How much is the expenses that you made and what are the amount of disposing, all have to be in proper record and minus and plus to know your profit.