Accounting Need
Accounts are the basis of any powerful organization. Without
an account you cannot build a strong organization, medium level business or
small level business. No organization will grow or stabilize in the future
without an account. Accounts for each or every step are needed Not only in
business we need accounts for all the work in life but good accounts play a big
role in business.
Accounting Need five points are Given
Below .
1) Business location: -"Business location" is a small word but it means bigger. Because your every decision is based on the location of your business. So by adopting the accounting method you can only know the location of your business. Investors first decide the financial position of your business and decide to invest in your business so a good and accurate business position is indicated by a good accounting method. If you do not manage the account, you will not know the location of your business. This is where accounting is most needed
2) Loan Opportunity: - Every business needs its own capital
or loan for growth. Usually people take business loans. Borrowing requires at
least 5 years of your business accounts balance sheet, Profitand Loss Accounts
. This is easy to do when it is maintained
to accounts. So it is Need Of Accounts
3) Depreciation of assets: - The value of assets always
decreases every year. How to know the value of your current assets can only be
known by using the accounts method. So this calculation is required or is
simply fulfilled by the account. Only accounts maintain the rules of
depreciation and get the right value for
your assets.
4) Outstanding: - Debtors
and creditors arrears of how much money is left. Accounts are required for how
many days to pay. Accounts help you key your responsibilities and help at the
right time.
5) Book Finalization:- Accounts is Help of easy to Finalization
company Account Book .easy to Prepare Balance Sheet, Trial Balance , Profit and
Loss Accounts etc.
0 Comments