Before one can look at the different accounting courses available, one must first have a look at what exactly accounting is. Accounting can be described as the process of recording financial transactions, analysing financial data, and reporting on the financial position of an organisation.
The purpose of accounting is to provide accurate financial information that can be used for decision-making purposes within an organisation.
Accounting involves the methodical recording and reporting of a business’s financial transactions. It allows companies to study their financial performance and to analyse financial data. It further entails the identification, measurement and communication of financial information to allow for informed decisions to be made.
Various rules and regulations govern the accounting industry, such as the Generally Accepted Accounting Principles (GAAP). Although accounting is in many ways similar to bookkeeping, it also differs in many ways. The main characteristics of accounting are as follows:
- It is abstract and theoretical.
- It entails a process of drafting and analysing financial statements.
- Accounting relies on bookkeeping records to provide the data that is to be analysed.
- Accounting entails the preparation of budgets and proposals.