Accounting and bookkeeping services are important aspects of any business, large or small. They are essential for organizing all transactions in terms of cash flow, assets and liabilities, and much more. Bookkeeping and accounting services are also very important for tax filing, especially if you can’t do it yourself. Software and online services offer more convenience and privacy for individuals.
Bookkeeping and accounting services are provided by professionals who have degrees in accounting and related fields. Accountants and bookkeepers ensure that an individual’s or business’s records are properly maintained and taxes are paid properly and on time. Accountants and bookkeepers analyze and submit financial information from individuals, businesses, and the government. These services also provide budget analysis, financial and investment planning, information technology consulting, and legal services related to accounting issues. Accounting and Bookkeeping Services Melbourne may also perform specific functions in one of the four major areas of accounting, which include public accounting, management accounting, government accounting, and internal auditing.
Accounting or bookkeeping refers to the measurements and statements of financial information used by business owners, business people, managers, lenders, investors, and tax authorities, among many others. The information collected can help make decisions about the allocation of resources between and within businesses, organizations, public entities, and even between individuals. There are various forms and “books” called journals and ledgers used for bookkeeping and accounting, but nowadays there are also various accounting software for simpler and better organized financial reports that also include the forms needed for tax returns.
Bookkeeping has been around since ancient times, when the Sumerians and Egyptians kept records of the quantities of their agricultural products. This accounting developed mainly during trade and when the first money was used in 2000 BC. Later, Luca Pacioli, considered the father of accounting, developed the double-entry bookkeeping system used by Venetian merchants to record their accounts. Pacioli was already using journals and ledgers with accounts for assets, liabilities, capital, income and expenses. Accounting and Bookkeeping Services in Australia
Bookkeeping, on the other hand, is quite similar to accounting in that it also involves recording all financial transactions or cash flow. It is used by many individuals and businesses to document what comes in and what goes out of their accounts. Bookkeeping also involves the use of various forms and ledgers, as well as software specifically designed for this purpose. There are two systems of record keeping, single-entry and double-entry.
Accountants must graduate with a degree in accounting or a related field and, to get a better job, must be certified or licensed. This is especially true for certified public accountants, who must be certified before they can take a job with an accounting firm. Some CPAs or Certified Public Accountants also specialize in forensic accounting, which involves investigating and interpreting fraud, embezzlement, bankruptcy, contract disputes, and other criminal financial transactions. Accountants (sometimes referred to as bookkeepers) must complete at least a two-year post-high school course on accounting or earn an associate degree in accounting. They are usually responsible for recording daily purchases, sales, receipts, and payments.
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