Accounting. week II Accounting, Finance, SPSS Essay

ACCOUNTING
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Courses
Date
Accounting
Accounting refers to the process of recording financial statements and transactions relating and concerning a firm, business, company, or organization. Accounting has a very significant role in the budgeting process in a business, company, or organization. Accounting helps to track the incomes and expenditures of a business or organization. Budgeting is the process of laying strategies and plans to spend money in a company or an organization. Accounting helps a business to budget in various ways outlined below.
It provides the stakeholders of business with qualitative and quantitative financial information. This information can be used in making important decisions concerning the budget of a business (Ezzamel et al., 2014). Accounting also helps the business or company to stay in line with the statutory laws. This ensures the company does not engage in ultra-vires to gain more profits. The balance sheet gives the business owners clear information concerning the business’s financial position at a specific date in the future. This helps the business to put a plan and strategies for definite channels for distributing its income in the various departments of the organizations. This also helps the equal distribution of resources in the organization, which leads to its success.
Also, this information helps the organization in controlling its expenditure over the specified period. Here, the business will...