ACC 220 Week 1 DQ 1
Accounting is a comprehensive system that records and reports quantitative information about business transactions, and is literally the backbone of business operations. Accounting methods are used to prepare statements related to a company's assets, liabilities, and business operation results. Accounting plays the role of providing managers with critical information to use in a range of business operations. Managerial accounting provides nonpublic information like production costs, salary costs, targeted profits, along with information on material control. The knowledge gained through managerial accounting helps managers make well informed decisions related to day-to-day business operations. With the help of financial accounting, companies share their financial standing with customers, stockholders, suppliers, creditors, and regulatory commissions. Accounting helps companies record daily transactions, prevent frauds, and identify their most profitable and weak assets and products.