Monday, August 2nd, 2010 at 5:03 pm
Every successful business needs to know and understand the accounting principles. Here are some tips related to this fundamental discipline that represents the intelligent and logical record of transactions and resources of a company.
1. Accounting is the main tool for management control. The accounting records reasonably all company business. It aims to be a faithful reflection of the reality of a company.
2. You can not do business if you do not know the basics of accounting. The huge losses in business caused by accounting distortions associated with bad debts, obsolete inventory, unrecorded expenses, taxes paid in excess, cross bills, etc. Read More »
Monday, July 26th, 2010 at 12:49 am
Perhaps the luck or even the entrepreneurial profile and do a good feeling about the company can survive for some period without this information, but long term this lack of basic knowledge for decision making can take that entity to become a more If the mortality statistics of MSCs.
There is a metaphor about the importance of accounting as a management tool that compares a company without accounting for a boat lost in the ocean without a compass. I do not know who was the author of this translation, even for already having it read in several articles and books by different authors, but whoever was lucky enough to make that comparison. After all, the market is indeed an ocean (and quite stormy tell by the way) and the company will never know what direction to go without the “compass” of accounting information. Read More »
Thursday, July 22nd, 2010 at 1:45 am
It is common that when you hear the word “accounting“, many associate that term to the accounting department of a company or the practices of bookkeeping and preparation of financial statements performed by accountants.
For academics and practitioners, however, that word takes on a still broader sense, also becoming a synonym or even a “pet name” for accounting science, science whose objective is to study the heritage of entities and intended to turn data into information useful for decision making of its users, whether internal or external. Read More »