Business World

Accountancy in management.

Accounting is the process of recording financial statements of an organization. It also involves the classification, summary, interpretation and presentation of financial information. It is a way of recording activities and transactions that occur in a business. One of the general rules of accounting is that every transaction is recorded. Those businesses that do not record their financial statements are seen as committing fraud. Another accounting rule is that transactions are recorded using the double entry method which was originally developed in Italy in the 1400s. Therefore every business needs to record its financial statements if it wishes to continue operating.