What is Financial Accounting?

What is Financial Accounting?

Financial Accounting (Financial Accounting) is the preparation of financial reports of the company under the accepted accounting rules. To users of financial statements outside the entity for planning, control and decision-making in various operations

Accounting guidelines

1. Financial accounting: must be prepared under generally accepted accounting principles (Generally Accepted Accounting Principles: GAAP) and in accordance with the law.

2. Principles according to accounting standards (Accounting Standards) and financial reporting standards (Financial Reporting Standards)

3. Follow the framework of the accounting framework (Accounting Framework), including

- Existence is the existence of a business.

- The accrual basis is the recognition of income and expenses immediately.

- Do it in a reasonable and timely manner.

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