Accounting is a branch of business studies which deals with the financial part of business. It is mainly concerned with the recording, categorization and assessment of the monetary transactions of business organizations in a systematic and specified manner. Accounting analyses all the financial data in order to find out the profit and loss of the business. Data specific to finance are studied under this branch. Several principles are used to furnish and represent the data so as to make it simpler to understand.
Financial statements, cash flow statements, balance sheet analysis, ratio analysis, working capital management, cash flow analysis, taxation, environmental accounting, budget preparation and fund flow statements are certain important topics which are studied under accounting. All these are very useful in knowing the exact position of the business and can tell whether profit or loss is taking place in the business. All these concepts are tough to understand without any assistance, because of their complexity.
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