This article on the importance of accounting in football and other sports is one of the articles on the importance of accounting series like; importance of accounting in schools and importance of accounting in churches. This is not a traditional debate of what method of accounting is best to show the true financial position of […]
ACCOUNTANTS STEALING | 8 REASONS WHY ACCOUNTING PROFESSIONALS STEAL
There is no month that passes that you will not hear the news of an accountant stealing from his or her company. You can confirm this by subscribing to Google alert. You will be surprised at the amount of alert you will be getting in relation to situations where qualified accountants have stolen money from […]
What is Risk Based Auditing? Meaning | Process and Importance of Risk Based Audits
What is risk based auditing was one question that I had problem in answering for a very long time before I finally had my breakthrough in understanding what a risk-based approach to auditing is all about. It won’t be out of order if I make the assertion that many practicing accountants and auditors still have […]
WHAT IT TAKES TO BECOME A MODERN QUALIFIED OR CERTIFIED ACCOUNTANT
Becoming a qualified accountant is the dream of all students of accountancy. Employers don’t really take you seriously if you are not certified as an accountant; and it comes as little surprise that accounting firms can insist on qualifications being completed during a specified period of time. Taking time to study for your professional accounting exams […]
WHAT IS INTERNAL CONTROLS | MEANING, OBJECTIVES AND ELEMENTS
DEFINITION | MEANING OF INTERNAL CONTROLS Internal controls in its broadest sense is the collection of policies, procedures, practices, conventions, norms and organizational structures which managers implement in order to reduce risks to a business model of an organization. Internal controls are developed with the aim of providing management reasonable assurance that an organizations business […]
Accounting firm insurance | factors to consider before choosing a professional indemnity (PI) broker for accountants
Accounting firm insurance is a necessary evil that every professional accountancy firm must have else, settle in limbo. Accounting firms in recent time are adding more business line to their range of services making their business risk exposure increase at an exponential rate. The traditional business lines of auditing and consulting with narrowed focus was […]
HOW TO MOTIVATE ACCOUNTANTS AND OTHER FINANCE PROFESSIONALS
Motivating accountants and other finance professionals has never been as important as it is now as the whole world needs more motivated accountants and financial management experts to tackle the fierce financial challenge that is looming in the business world. Professional bodies are busy asking serious questions regarding accounting ethics, governance and business ethics. The […]
WHAT IS ACCOUNTING? |MEANING OF ACCOUNTANCY
What is accounting is a broad question that a lot of people think is as simple as defining the term accounting. In as much as defining accounting is part of the process of explaining what accounting is, it is not a complete answer to the question of what is accounting. In this article, a different […]
Analysis of XBRL as financial accounting reporting format| implementation problems and solutions
XBRL as financial accounting reporting format made its way into the limelight of financial reporting in the mid 2000s with companies given the option of voluntarily producing their annual reports using XBRL. XBRL stands for extensible Business Reporting Language which was developed to meet the real-time accounting information of employees, financial analysts, investors and other […]
VARIANCE ANALYSIS: MEANING, ADVANTAGES AND DISADVANTAGES
Variance analysis is a technical jargon used to explain a situation where actual result or outcome of an event significantly and materially differs from planned, expected or targeted results or outcomes. Note the emphasis on the words significant and materiality. In accounting, materiality is defined as a situation where the omission or inclusion of an […]
BUDGETING PROCESSES AND BUDGETARY PROCESSES
Budgeting process or budgetary system is a critical thinking area of managerial decision making that management accountants needs to handle with care else, make grave mistake that may cost the business all it has ever worked for. Budgetary system talks about the steps that should be followed by managers to make a reasonably implementable budget. It […]
Functions of management accounting / functions of management accountant in decision making
Functions of management accounting cannot be fully appreciated if a working definition and explanation of what a management accounting is all about is not reasonably provided. To this end, I would like to start this article by providing a brief description of what management accounting is below. WHAT IS MANAGEMENT ACCOUNTING? Management accounting is the […]
IMPORTANCE OF BUSINESS ETHICS / IMPORTANCE OF ETHICS IN BUSINESS INVESTMENT
Business ethic is that aspect of corporate governance that has to do with the moral values of managers encouraging them to be transparent in business dealings. Business ethics takes into consideration the feelings of customers in fashioning out the services or goods that is given to our customers. It also takes into account the interest […]
ACCOUNTANTS’ ROLE IN THE ACCOUNTING INFORMATION SYSTEM
Accounting information system (AIS) is that subsystem of overall management information system that provides information to an organization in the right format, size, time frame, and within a budget. Accountants have many roles to play as far as accounting information system is concerned. In this article, you will learn the various roles that accountants play […]
IMPORTANCE OF ACCOUNTING IN CHURCHES
The importance of accounting in the church is a controversial issue that is giving a lot of clergymen and women concern in our modern world. This is particularly important now that churches have been taken to be a profitable business venture. Without prejudice, this is a fact that may be difficult for some people to […]
RELEVANT CASH FLOWS OF CAPITAL BUDGETING
Relevant cash flows of capital budgeting and investment appraisal are one area that confuses people a lot. This confusion is common amongst students that are taking financial management as a course in their bid to become finance professionals. The motivation for writing this article is to clear this confusion on what is relevant cash flow and […]
CAPITAL BUDGETING PROCESS; MEANING AND PROCESS
Capital budgeting is a scientific process of identifying, analyzing, selecting and implementing investment projects with returns that are expected to span over more than one year. Capital budgeting is also referred to as investment appraisal. The importance of capital budgeting in the process of investing cannot be over emphasized as capital budgeting gives a calculated […]
ACCOUNTANT’S ROLES IN A MODERN AND VIBRANT BUSINESS
Accountants have many roles like; accountants role in economic development, roles of accountants in fraud fighting, roles of accountants in the face of economic meltdown. The role of accountants is pervasive in nature and this article is another proof of this. In this article are the roles of accountants in a forward looking and vibrant […]
ROLES OF ACCOUNTANTS AND AUDITORS IN SMALL BUSINESSES
Accountants are experts in business communication and as such have significant role to play in business. The roles of accountants in small business are what I will be discussing in this article but from different perspective. You may have read a lot about the roles of accountants in small businesses but not in the same […]
USES AND BENEFITS OF STATEMENT OF CASH FLOW
Statement of cash flow or cash flow statement/ fund flow statement as it was formerly called is a component of the financial statements that explains how a company manages her finances. Questions like how a company makes money, what a company invests in and how projects are financed are explained in the statement of financial […]
ROLE OF ACCOUNTANTS IN ECONOMIC DEVELOPMENT AND GROWTH
Accountants have many roles to play in the development of every economy. The growth and development of every economy hinges on how resources are judiciously managed and multiplied. Accounting is all about cost savings and this I am sure is the back bone of economic development and growth. Some of the roles of accountants in […]