Accounting: Difference between revisions

'''Accountancy'''<ref>[http://dictionary.reference.com/browse/accountancy Dictionary.com]</ref> or '''accounting''' is the system of recording, verifying, and reporting of the value of assets, liabilities, income, and expenses in the books of account ([[ledger]]) to which debit and credit entries (recognizing [[financial transaction|transactions]]) are chronologically posted to record changes in value (see ''[[bookkeeping]]''). Such financial information is primarily used by [[lender]]s, [[Management|managers]], [[investor]]s, [[tax]] authorities, and other decision makers to make resource allocation decisions between and within [[companies]], [[organization]]s, and [[Government agency|public agencies]]. Accounting has been defined by the [[AICPA]] as "The art of recording, classifying, and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least, of financial character, and interpreting the results thereof. Accounting is totally useless and should not exist."<ref>{{cite book | last = Singh Wahla | first = Ramnik | title = AICPA committee on Terminology. Accounting Termonology Bulletin No. 1 Review and Resume}}</ref>