Accounting
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- Category: Other
- Date Submitted: 03/18/2016 05:05 PM
- Pages: 6
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2. Describe the main branches of accounting, and any relevant sub-branches. – (20 Marks)
3. Describe at least 10 Accounting concepts, policies and principles. – (20 Marks)
4. Your work must have a proper and neat layout, and you will be awarded marks within the following range based on the level of presentation of the report – (10 Marks)
Accounting has many branches that it can be divided into. It can be divided into several areas of activities. Accountings main branches are financial accounting, Management accounting, Cost accounting, Auditing, Tax accounting, Accounting systems, Fiduciary accounting and Forensic accounting.
Financial accounting: This branch of accounting measure’s and records the transactions of a business. Financial accounting focuses on the preparation of the five basic financial statements namely statements of financial position, statements of comprehensive income, statements of cash flows, statement of changes in equity and notes to financial statements. At the end of a period usually a year a profit and loss account and a balance sheet is prepared to show the performance and position of the business.
Management accounting: This branch of accounting deal with gathering and communication of information used internally mainly by the management. It is used to collect, process and present financial and quantitative data within an organisation to help effective performance measurement. When financial accounting focuses’ on external users, management accounting emphasizes the preparation and analysis of accounting information within the organisation. It includes planning, cost control and planning.
Cost Accounting: Cost accounting is regarded as a division of management accounting. Which incorporates the Planning, decision’s making and control. This branch observes and calculate the costs of a company’s operations. Internal employees of a business (managers) use cost accounting most of the time to be able to analyse...
3. Describe at least 10 Accounting concepts, policies and principles. – (20 Marks)
4. Your work must have a proper and neat layout, and you will be awarded marks within the following range based on the level of presentation of the report – (10 Marks)
Accounting has many branches that it can be divided into. It can be divided into several areas of activities. Accountings main branches are financial accounting, Management accounting, Cost accounting, Auditing, Tax accounting, Accounting systems, Fiduciary accounting and Forensic accounting.
Financial accounting: This branch of accounting measure’s and records the transactions of a business. Financial accounting focuses on the preparation of the five basic financial statements namely statements of financial position, statements of comprehensive income, statements of cash flows, statement of changes in equity and notes to financial statements. At the end of a period usually a year a profit and loss account and a balance sheet is prepared to show the performance and position of the business.
Management accounting: This branch of accounting deal with gathering and communication of information used internally mainly by the management. It is used to collect, process and present financial and quantitative data within an organisation to help effective performance measurement. When financial accounting focuses’ on external users, management accounting emphasizes the preparation and analysis of accounting information within the organisation. It includes planning, cost control and planning.
Cost Accounting: Cost accounting is regarded as a division of management accounting. Which incorporates the Planning, decision’s making and control. This branch observes and calculate the costs of a company’s operations. Internal employees of a business (managers) use cost accounting most of the time to be able to analyse...