Primary Objectives of Financial accounting

If I have to write only one line on this topic, I will write,

“Primary objective of financial accounting is to provide the real financial and income position of organisation”

Now, I explained this line:

1. Why are Accountant Appointed?

Objectives of financial accounting are linked with the appointment of an accountant. Accountant is the person who can help to identify and achieve the objectives of financial accounting. If a man who does not know accounting never makes accounts which will be helpful for achieving the objectives of financial accounting. Suppose, financial accounting identifies the correct amount of net profit. A man who does not know financial accounting will deduct all his expenses from his incomes without seeing revenue and capital expenditure. Due to this, his organisation will show loss; this report will affect others adversely. So, to identify the correct and real net profit, we need accountant.

2. Financial Position

Suppose, one man’s weight is 90 Kgs and other man’s weight is 60 kgs. If they fight who will win? A man with 90 kgs will win. But it is wrong. If a man of 90 kgs has just the belly shaped who is not any flexibility and skill of fighting, it is sure, he will defeat. From this example, we have learned that there are so many factors for getting success in fighting. Like this, in financial accounting, we just make the list of assets and liability is not enough. We want to reach on the most important objective of financial accounting, we have to adjust the depreciation, reserves, provisions and dispose off assets. After this, we can reach correct and real financial position. This financial position can be used for different decision making.

3. Modernization

Modernisation in financial accounting is also most important objective of financial accounting. When we say, financial accounting provide true view of financial statement, its means, it is helpful for us this information at every second not after one year. Thanks the collaboration of computer engineers and accountants who understand this aim and bring it in the reality by making accounting software. They tried to follow all new accounting standards in it. In future, software companies are also committed to follow updated accounting standards which are recognized by IFRS.






access account accountant Accounting accounting definitions accounting ebook Accounting education accounting procedure accounting process outsourcing Accounting Software advance advertising africa Amalgamation amendments announcements Annuity assets audit auditing Australia B.Com. balance sheet bank Bank reconciliation banking basic accounting BBA benefits best bill black money blog bloggers book keeping bookkeeping Branch Accounting - full tutorial budget Budget variance business businessman CA calculator canada capital capital budgeting career cash cash book cash flow statement Chiense children china class coaching coins college commerce commerce students company computer computer accounting conference Contact vinod kumar Control Your Spending corporate accounting cost cost accounting cost center cost centre CPA credit credit card cs currency data Debit and credit debit cards debt debtor degree depletion depreciation Diwali Messages documents dollar domain Downloads Dubai e-accounting earning education Education Loans email employee EPF ERP euromoney examination excel excise duty expenses facebook factor of loan fans feature fifo FII fiji finacle finance Financial financial accounting fire insurance flickr flow forensic forex formula france fraud free fun function fund GAAP GDP gdr germany gold goodwill goodwill accounting google google apps Google Adsense google apps google base google buzz google calendar Google docs google finance google fusion tables google talk govt. GST guide health Hindi Hindi Language history holding company How to treat FBT in Tally 9 HRA ICAI ICAWI ICICI Bank IFRS income income statement Income Tax India indian railway Indonesia inflation inflation accounting infographics information inspiration insurance insurance accounting Intangible interest international Internet Introduction of Tally 9 inventory investment investment in Shares invoice IT Japan Job costing journal entries Journal Entries eBook Help Kalculate keyboard kindle kuwait laptop law LBT learning lease lecture ledger leducation Leverage Analysis liabilities lifo linkedin loan logical point loss loss of profit M.Com. m.phil malaysia management accounting manual accounting manufacturing account market marketing mastercard material MBA MCA media migration mobile money ms word ms. excel multi currency in tally 9 Multicurrency Accounting mutual fund national security new and sacrifice ratio new york times new zealand news NGO nonprofit-accounting North Georgia Mountains NPV NSE odbc office oman online application online accounting Online Accounting Course otcei pakistan parents Partnership pay pal pdf Personal Finance pie chart pie chart of income pnb podcast ppf presentation price privacy policy prize money prof. vinod kumar profit profit and loss account project management provision purchase puzzles quickbooks Quote quotes quotes of svtuition rating agency ratio analysis RBI readers real estate rectification of errors remote control reports reserves responsibility accounting retirement revenue Revenue reserves review risk rupees salary sale saudi arabia saving sbi scholarship school SEBI security service tax share share trading Shares shri lanka singapore sms social accounting society solution South Africa stock stock exchange structure student students study subsidiary company svtuition swiss bank tally tally 9 Tally 7.2 Tally 9 Tally.ERP 9 tanzania tax Tax Accounting TDS teacher teaching technology test testimonial testimonials thailand tips trading trading on equity transaction trend trial balance truthfulness tuition twitter UAE UGC - NET Commerce UK United Arab Emirates university usa valuation VAT Video Voucher and vouching Wealth wikipedia working capital youtube
Accounting Education: Primary Objectives of Financial accounting
Primary Objectives of Financial accounting
Accounting Education
Not found any lecture VIEW ALL Continue reading Reply Cancel reply Delete By Home PAGES Lectures View All RECOMMENDED FOR YOU Category ARCHIVE SEARCH ALL Lectures Not found any lecture match with your request, please help to write it and send it to our email at for making this website free accounting and finance encyclopedia. Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS CONTENT IS PREMIUM Please share to unlock