Accounting is the act of sorting and recording information.
Accounting procedures can help you manage the huge amount of information that a business can generate. Accounting records sort and categorize financial data into groups of information that are meaningful to stakeholders of the business.
A successful and active business may encounter hundreds of transactions in a single period. What’s the best way to handle incoming data?
The efficiency of the accounting process starts with accurate and well-organized data; therefore a clear understanding of procedures is important. In the previous lectures, we already learned about the different business transactions and how they are to be recorded. In this lecture, we will go through these books of accounts.