Mt Rushmore Bookstore

There Are Some Types Of Accounting That You Must Know

Accounting itself has a different field and according to its designation. Below are examples and understandings of every field you might have heard of in accounting. Besides that, if you also need to hire an expert in accounting or bookkeeping, we suggest you to only hire some of the best accounting and bookkeeping services perth.

Financial Accounting

This focuses on organizational financial reports, as well as external financial reports like the ones from investors. Also to calculate and record business transactions and prepare financial reports for external users in accordance with accounting standards in force in a country.

Management Accounting

This field focuses on measuring, analyzing, and reporting information that can assist managers in making decisions to meet organizational goals. In management accounting, internal actions and reports are based on cost-benefit analysis and are not required to follow a country’s accounting standards.

Audit

An audit is the verification of assertions made by another person regarding a financial statement. In the context of accounting, the audit also means “impartial audit accounting” and evaluation of financial statements in an organization in the form of systematic and conventional professional services.

Accounting information system

This field of accounting is part of an organization’s information system that focuses on processing financial data. Many companies use information systems based on artificial intelligence. The banking and financial industry uses AI as a fraud detection tool. The retail industry uses AI for customer service. AI is also used in the cybersecurity industry.

Tax Accounting

This accounting is focused on tax instead of standard reports. Taxation standards are also different from financial accounting standards or PSAK, this is because in taxation there is no accounting, only accounting records.

Forensic Accounting

This field is a combination of the field of accounting with the investigative ability to solve a problem / financial dispute or suspected fraud which will ultimately be decided by a court/arbitration / other case settlement.

Leave a Reply

Your email address will not be published. Required fields are marked *