Accounting advantage is not a small one. Lot of advantages you can get through proper Accounting. The following are the main advantages one may use it for personal, business purposes. Let we see the advantages of accounting on coming paragraphs. Advantages of Accounting Advantages of accounting used in corporate sectors on many ways. Here I listed some top benefits of accounting. If you use Advantage Accounting System in your company you can achieve your goals easily. This is the main benefits of cost accounting. 1. Permanent and Systematic record All the business transactions which are financial are recorded in the books of accounts. It helps to replace it which memory fails to remember to all the transactions. At present there is regulatory requirement for specified period. Accounting record is the basis for accounting work. The records have to be maintained systematically. 2. Disclosure of Information Disclosure of information at any point of time can be easily available for required purpose. It may be need for decision making or other purpose and so on. 3. Financial position of the entity Owner or shareholder of the business wants know profit or loss and know the true picture of financial position of the business. It helps to take possible action for business in future. 4. Assessment of progress of Business: Accounting provides and analysis the financial positions to reveal the progress made in different areas and also depicts where the business going weak situation. The management is provided with complete picture of the profitability and stability of the business. Thus accounting books provides in the long satisfying the objectives f the business. 5. Financial statements: Accounting has provided all information in place called as financial statements at periodical time. The results of the business and position has depicted in this statements for distribution of profits, raising capital from other country or whatever the management has to take it for other related purpose. 6. Control over assets: In the course of business the proprietor has purchase many assets and to check it to find out value for every year. 7. Control over Borrowing: Businessman borrows money from various parties and other sources. These loans are repayable at due date. He should have control over the liabilities like that control over the assets. 8. Management decision making: Management is aided for planning, reviewing, revising, controlling and decision making while discharging its functions. A business firms involves making day to day decisions whenever needed. Accounting provides the relevant data to make the decisions appropriate and effective. Accounting data is the basis for most of the decision made by the management. For example, fixing selling price for a product or service businessman have to consider many aspects of accounting information such as cost production, raw material cost, administrative cost and other costs. Accounting information to determine a price for a product. 9. Statutory requirement: Various Regulatory body/Authority requirements like provident fund for employees, employees state insurance contributions, tax deduction at source, income tax and other tax filing […]
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