definition of accounting

It is called accounting to the discipline that analyzes and provides information about the economic decisions of a project or institution. If you talk about accounting, you talk so much about a science, since it provides true knowledge, a technique, insofar as it works with procedures and systems, an information system, since it can capture, process and offer conclusions about pieces of information, and a social technology, because it combines knowledge of science to solve concrete problems of life in society.

As a final product, accounting establishes the accounting or financial statement, which summarizes the economic-financial situation of a company to allow decision-making by shareholders, investors, creditors, owners and others. In modern times, the possibility of a business structure of any magnitude that does not have an adequate management of accounting parameters is not conceived. This concept involves both so-called small and medium-sized companies (known by the acronym of SMEs) and large multinationals; This is due to both financial reasons, in terms of ensuring adequate profitability, and in fiscal terms, due to pressure from federal, provincial and local treasuries on each business structure.

It is said that the history of accounting began with the publication in Italy of the work 'Summa de Arithmetica, Geometría, Proportioni e Proportionalita' by Luca Pacioli, which was devoted to describing accounting methods of Venetian merchants, mercantile uses, contracts and practices interest and change. This work was the antecedent of what is now known as "must and have" in accounting jargon. Since the old Italian republics and microstates were the great promoters of trade in previous centuries, these teachings were adapted and modified with the passing of time, without being able to their original essence.

There are different types of accounting, including financial, which provides general and general information about the financial operation of a company, and cost or management, which has an internal informational purpose, to analyze economic movements within the company. the institution for decision making.

In this discipline there are various measurement criteria, for example historical cost, current cost, realizable value and present value. These variables are today the axes of any fundamental accounting system of various companies and businesses.

Other typical accounting concepts are the accounting net worth, the elements of the financial statements, the assets, the accounting packages, the accounts, the debit and credit agreement, the balance and the accounting books.

It is worth emphasizing that modern computing resources have given a strong overturn to the conventional approach to accounting. Thus, the task of experts in this discipline has been facilitated thanks to spreadsheets and asset or stock records, with better control of entries and exits and the "must and do" which we mentioned in previous paragraphs. . In return, accounting has increased its field of action as a result of these technical developments, and today, public accountants and their related specialties manage almost completely the human resources departments of various companies and institutions. In this way, it stands out that, beyond the undoubted technical and mathematical aspects that characterize it, accounting is, like economics, a science with important social repercussions that are part of this modernized way of daily work.

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