The Practice of Accounting.
Accountants are individuals who carry out the role of measuring, disclosure and providing credibility to financial records. Accountants provide useful information which is meant to be used by various users in the organization. Managers of organization have proved to be the main users of information provided by the accountants. Managers have proved to use the information provided by accountants to make key decisions in the organization. Lenders and creditors who finance the organization are also users of financial information. Lenders use financial information record to assess the performance of their capital and the possibility of increase in the interest recorded.
There have been establishment of organizations which are staffed with accountants who are hired at a cost in order to provide accounting services. Tax accountant penrith is an example of organization which provide accounting services by hire. The act of accounting is practiced in almost all organizations as financial records are maintained by all organizations. Among organizations which require accounting services include the judiciary which is staffed with judge accountants. Certified public accountants is a body which has been established to control and govern the practices of accountants to prevent misconduct or abuse of powers. The term used to describe rues and regulation which govern how financial practices should be practices is principle of accounting. The principles of accounting include prudence, consistency and materiality.
Accounting is governed by principles which are require to be adhered to. Bodies responsible for set the accounting rules included the chartered accountant, chartered certified of accountant or certified public accountant. Bodies which are responsible for setting the principles of accounting has also been endowed with the function of certifying qualified accounting organization and accountants. These bodies also play the function of punishing individuals who carry out professional negligence and unethical practices such as providing wrong financial information with an aim of acquiring a given benefit. Accounting demands a lot of qualification which is proved by passing qualification events and professional attachments which are assessed by the certified institute of accountants. Accountants who have not yet qualified in accounting can also work under the guidance of qualified accountants in a given organization. The actions carried out by unqualified accountants are the responsibility of the qualified instructor.
Accountants play different accounting roles which include tax accounting, cost accounting, audit and managerial accounting. Tax accounting is carried out to determine the tax liability of a given organization. The second role of cost accounting involve determining the cost inquired in order to finish the production process. Auditing of financial record refers to a practice carried out in order to give credibility to thee available financial information.