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In: Accountancy

What are the 3 Major areas of Accounting?

What are the 3 Major areas of Accounting?
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    1. afaq

      afaq

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      afaq
      2020-09-03T11:07:47+05:30Added an answer on September 3, 2020 at 11:07 am

      3 Major areas of Accounting

      1. Financial Accounting: Financial Accounting is the process of recording,  summarising, analyzing, and providing financial information to users. This involves the preparation of trading account, profit & loss account, and balance sheet.
      2. Cost Accounting: Cost accounting recording of all the costs incurred in the business. Cost including Fixed cost and variable costs. It Provides data to Internal users for decisions making to reduce the cost by cost control.
      3. Management Accounting: Management Accounting is the process of analysis, interpretation, and presentation of accounting information to the users that collected with the help of financial accounting and cost accounting. This helps management in decision making.
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