Accounting is grouped into categories called classes of accounting.
These classes include the following:
1. Financial Accounting
Deals with the profit or loss and balance sheet preparation for a business concern. It is the most common type or class of accounting. It begins the accounting study process before other classes are introduced.
2. Cost accounting
Deals with determining the cost per unit of a product or service. It is prepared to help management take decision about cost and, ultimately, determine prices to be fixed for goods produced or services rendered.
3. Management accounting
Deals with professional application of accounting skills in management decision making.
4. Financial management
Deals with raising and use of scarce resources in the running of business
5. Taxation
Refers to accounting for taxation, which is, assessing the profit of business concern to determine how much tax it is to pay to the government.
6. Auditing
Is an independent examination of records to assure users of the accounting information that it presents a true and fair position of the business concern.
7. Government (public sector) accounting
Deals with accounting for government income and expenditure.
These classes include the following:
1. Financial Accounting
Deals with the profit or loss and balance sheet preparation for a business concern. It is the most common type or class of accounting. It begins the accounting study process before other classes are introduced.
2. Cost accounting
Deals with determining the cost per unit of a product or service. It is prepared to help management take decision about cost and, ultimately, determine prices to be fixed for goods produced or services rendered.
3. Management accounting
Deals with professional application of accounting skills in management decision making.
4. Financial management
Deals with raising and use of scarce resources in the running of business
5. Taxation
Refers to accounting for taxation, which is, assessing the profit of business concern to determine how much tax it is to pay to the government.
6. Auditing
Is an independent examination of records to assure users of the accounting information that it presents a true and fair position of the business concern.
7. Government (public sector) accounting
Deals with accounting for government income and expenditure.
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