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The role of accounting in business is to help internal and external stakeholders make better business decisions by providing them with financial information.
The act of management has always had an essential role in human community activities. The efficiency of a company depends on the quality of managerial process. This requires performant management, which means competence and rational decisions. Accountancy can support the decision making process and management activity. The objective of an accounting system is to provide financial information concerning the studied company. The information concerns the financial situation and the performance of a company and there is intended to the users to taking decisions. For taking decisions by the management in order to achieve the objectives of the company it is necessary to know exactly the situation of the company, either compared to other companies that work in the same field or in relation to previous periods, this thing being possible through the accounting information
--We should analay the relationship between the stewardship function of financial accounting& the demand for information useful in making economic decisions on resource allocation.
-IT 's better to take in consideration accounting techniques,also costs of pollution
Fundamental analysis depends heavily on a company's balance sheet, its statement of cash flows and its income statement. All of the financial statements for publicly traded companies are created and reported according to the financial accounting standards set forth by the Financial Accounting Standard Board (FASB).
Without the information provided by financial accounting, investors would have less understanding about the history and current financial health of stock and bond issuers. The requirements set forth by the FASB create consistency in the timing and style of financial accounts, which means that investors are less likely to be subject to accounting information that has been filtered based on a firm's current condition.
Accounting information will be useful to findout the financial position of a company.Analysing the credit position,profit ,fixed assets,current assets etc.These information will enable us to take correct decision for investing.
