Accounting provides information concerning the financial affairs of a business, needed by creditors and government agencies.
If you are a business owner or a manager, you would want to trace your financial whereabouts, if you’re losing or gaining, so that you’ll be able to make accurate decision for the future of your business.
Accounting skill would help you classify and summarize business transactions recorded by the bookkeeper, who’s responsible for recording financial activities of a business; if you are a do it yourself business entrepreneur.
In order for a businessman to identify (interpretation) if his or her business has succeeded, he needs to have an accountant or himself to provide such supporting documents, showing the financial statements of his/her business in a specific time-period.
It is also very wise for a business owner to have an accounting skill even if he/she hired accountants to do the work for him/her, so that he/she will be able to review his/her employee’s work for accuracy purposes.
But if one have a trusted accounting manager to do the review, then that wouldn’t be an issue.
In case you’re interested in learning accounting skill to help your business in the future, here’s a good book I can recommend for you, ‘Accounting Made Simple: Accounting Explained in 100 Pages or Less‘
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