MGM101H5 Chapter Notes - Chapter 13: Public Company Accounting Oversight Board, International Financial Reporting Standards, Chartered Professional Accountant
25
MGM101H5 Full Course Notes
Verified Note
25 documents
Document Summary
The recording, classifying, summarizing, and interpreting of financial events and transactions to provide management and other interested parties the information they need to make good decisions. Financial transactions include buying and selling goods and services, acquiring insurance, paying employees and using supplies. Input: the inputs to an account system include sales documents and other records. Processing: the data are recorded, classified, and summarized. Outputs: they are then put into summary financial statements such as the income statement and balance sheet. Users of accounting information and the required reports. Many types of organizations use accounting information to make business decisions. The reports needed vary according to the information each user requires. People i(cid:374)te(cid:396)ested i(cid:374) the o(cid:396)ga(cid:374)izatio(cid:374)"s income and financial position (eg. owners, creditors, financial analysts and suppliers) Financial statements found in annual reports (eg. income statements, balance sheet, and statement of cash flow. Financial statements and various internally distributed financial reports. The accounting profession is divided into 5 key working areas:
