Important Types Of Accounting Useful For Accountants

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CALLTUTORS
IMPORTANT TYPES OF ACCOUNTING USEFUL FOR
ACCOUNTANTS
Presented by Calltutors
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FINANCIAL ACCOUNTING

• Normally the financial accounting is that you
  expect an accountant to keep track of a companys
  financial dealings. This is the book in which
  ledgers include black and red ink and the
  book-keeping side of accountancy. By using the
  standard guidelines which are found in Generally
  Accepted Accounting Principles (GAAP) rules it
  should be done. By the Financial Accounting
  Standards Board (FASB) these rules are set. To
  present the financial reports to the shareholders
  and regulators, financial accountants follow
  specific procedures.
• With the help of incomings, outgoings, debts and
  how funds are moving through the company, the
  financial accountants track the companys current
  financial position of the company.
• By monitoring the value of the companys shares
  they make stockholders equity statements.
• The shareholders and investors use their reports,
  which means the people who are outside the
  company, are using these reports.

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MANAGEMENT ACCOUNTING

• Management accounting and financial accounting
  are quite similar in some ways. Financial
  accounting is all about the tracking of the
  financial position and making their reports.
  Financial accountants provide the report which is
  used externally, and these reports are created by
  the management accountants to be used internally.
• The mangers who need the financial information to
  make business decisions are provided by the
  management accountants for example reports which
  have been profitable for the business areas.
• For decision-making, the data which supports it
  is used in the form of charts and statistical
  techniques.
• At higher levels, business references perform by
  the management accountants and also they can be a
  member of the companys senior management team.
• Management accounting is not only stating the
  figures, but it is also more than this, it about
  making predictions, and interpreting trends,
  qualitative aspects of business too.

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GOVERNMENTAL ACCOUNTING
The accounting information system type which is
used in the public sector refers to the
governmental accounting. And also it is known as
public accounting or federal accounting. And in
the private sector financial accounting system
there is a small aberration. By the GAAP rules,
financial accounting is directed and by the GASB
(Governmental Accounting Standards Board) rules
governmental accounting is directed. For
example, in the road improvement project, it
would keep track of the income and expenses. In
most cases, mainly there are five governmental
funds which are used and that funds are General
fund, Permanent fund, Special revenue fund,
Capital projects fund, Debt services fund. Each
and every fund is tracked to provide perfect
report on how money is used, and also the
remaining funds are tracked.
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PUBLIC ACCOUNTING
The customers, including service businesses,
producers, retailers, non-profit organizations,
government organizations, and individuals are
provided by the accounting services by the firms
which are public accounting firms. Auditing, tax
preparation, tax advisory, and advisory
activities, including the preparation and
analysis of financial statements is focused by
the field that is the public accounting
field. The companies which are public accounting
companies are advised on the different business
strategies, mergers, acquisitions, and internal
accounting systems.And for clients the
responsibility of a public accountant is to
ensure their financial statements, records are
filled accurately. With the tax regulations and
financial reporting, public accountants work
closely. If it is necessary to have accounting
software programs to the customers then public
accounting companies also advise the customers.
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COST ACCOUNTING
Cost accounting is one of the main accounting
methods. In this method, it captures the various
costs of the companys production by evaluating
the cost like input cost, fixed cost, etc.
Firstly, all the costs evaluated and then it will
be examined with the real cost acquired by the
company. In business, cost accounting is a
specialization field that seems closer to the
actual cost. In the manufacturing environment,
cost accounting is used internally. And also for
the businesses, it can be used. For the fixed
and variable costs, cost accounting looks at
both. In business, cost accounting incurs such as
material, labor maintenance and the cost for
production. Most businesses use the standard
costing system, in which for the production of
any product they assign an average cost. And the
accounting which is focused on the future is cost
accounting and rather than describing past
performance, it is used to take the
decision-making process.
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CONCLUSION
Now you have seen some main types of accounting
and these types of accounting help a lot the
accountants in their work.
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