| Bookkeeping or accounting data worked on by | | | | the financial position, reports on human resources |
| the accounting cycle will generate the relevant | | | | accounting and social performance reports are the |
| accounting information. In the process, the | | | | aspects that make up the accounting information. |
| essential data is collected, classified, tabulated and | | | | The different parties or entities that are |
| summarized in a way as to present the same in | | | | interested in the accounting information are the |
| the structure of clear information for use by the | | | | top management, researchers, government, |
| top management. These reports or information | | | | creditors, consumers and employees. The |
| will enable them to take informed and wise | | | | bookkeeping information is of interest to persons |
| decisions. Bookkeeping data comprises financial | | | | and individuals who are directly and indirectly |
| transactions occurring in an organisation during the | | | | involved with an organisation or enterprise. While |
| accounting period. And, one of the foremost | | | | small and medium size businesses are generally |
| functions of accounting section is to collect the | | | | carried on by a single person or by a few |
| data that are correlated with the vouchers. This is | | | | partners, a large business is usually run by |
| carried out to ensure the authenticity of the | | | | constituting an incorporated company where there |
| entries. | | | | is a separation of management activities from |
| Accounting process is carried out by recording | | | | ownership. The management’s responsibility |
| data in the books of original entry, posting the | | | | lies in the efforts to operate the business related |
| same into a ledger, placing transactions of similar | | | | aspects in an efficient way. It will also try to reap |
| nature under a single title in one account, | | | | maximum returns on the capital without imperilling |
| determining the value at the end of the year by | | | | the fund pool of the company. |
| balancing, tabulating the lists of balances to check | | | | Even though the original owners are the people |
| for arithmetical consistency and accuracy, and | | | | that initiate contributing to the fund of a business, |
| finally by making the financial statements of Profit | | | | they can lay claim on the equity's return only |
| and Loss and Balance Sheet. But, in the recent | | | | after paying others. After distributing the entire |
| years, this arduous task is managed by various | | | | required amount towards employee salary and |
| accounting software. There are several | | | | interest, profit can be distributed as a reasonable |
| advantages by resorting to the latest happenings | | | | return on the capital they have invested. In all |
| in technology as these soft wares can finish the | | | | possibility, the owners will be interested in the |
| tasks at hand in a very efficient manner; and that | | | | safety of their investment. They will always be on |
| too, in a short span of time. Mostly, the important | | | | the look-out for a reasonable return, which in turn, |
| accounting information is presented in the form of | | | | rests on the organisation's stability and reputation. |
| Income statements and Position statements or | | | | Accounting reports takes care of the past |
| Balance sheets. In the modern world of business, | | | | performance in addition to assisting in the future |
| reports and statements indicating the changes in | | | | prospects of the organisation or entity. |