Accounting is a term that describes the process of combining financial information by accountants to make it clear and understandable for all stakeholders and shareholders. The main goal of accounting is to record and report a company’s financial transactions, financial performance, and cash flows.
Different types of Accounting :
There are tax accountants, financial accountants, public accountants, government accountants and others. Forensic accountants are employed by regulators and law enforcement to help track illegal activity. Diving even further, crypto accountants work with cryptocurrency assets.
An accountant usually works for a person, a business or the government. However, accounting firms such as Deloitte, Ernst & Young, KPMG and PricewaterhouseCoopers are renowned for tracking and managing public and private financial data.
Here’s a breakdown of the main types of accounting.
- Financial accounting: This type of accounting is accomplished with investors in mind. It is used to assess the financial health of a business and helps management get an accurate idea of a business’s finances. This type of accounting is essential for companies to be transparent about their financial health.
- Managerial accounting: This type of accounting is used to generate financial statements for companies, including product costs, cash flow reports, profit and loss statements, and business acquisition reports. This type of accounting is essential for business leaders, as it provides accurate financial data and can help companies make decisions about their money.
- Tax accounting: Tax accounting focuses on how your business works with the IRS. Accountants can help you understand your financial picture when filing your yearly or quarterly taxes. This is an essential service that all small businesses should utilize.
- Forensic accounting: Forensic accounting involves auditing and accounting practices. This type of accounting is frequently used by banks, attorneys and businesses to examine financial transactions. Forensic accountants are often used when fraud or embezzlement is suspected.
- Cost accounting: Cost accounting examines the actual cost of doing business. This type of accounting is usually used for manufacturing and service-based businesses; it looks at the fixed and variable costs a business incurs.
Accounting Firm :
A company that specializes in accounting services for clients. That is, an accounting firm may handle a client’s payroll, accounts receivable and accounts payable, taxes, and/or any number of other services. Many accounting firms also offer auditing or advisory services.
Accounting Firms in Pakistan :
Following are some accounting firms in Pakistan are :
They can help you with tax-compliant bookkeeping to help you to file tax return with accurate and up-to-date business data.
- Books Clean-up/Catch-ups
- Chart of Accounts Creation
- Software Setup/Integration with other software i.e.; QuickBooks, Xero, App Folio, etc.
- Account Reconciliation
- Accounts Receivable & Payable Management
- Receipt Management
Your success, your wealth and your risk are serious issues, but that doesn’t make them boring or dry. At Strategic Accounting they take them very seriously, but they don’t necessarily approach accountancy like every other firm. They talk about the issues that really matter to your business. They have real, up-front conversations, create authentic partnerships with our clients and get real results.
Strategic Accounting is a future-focused, straight-talking accounting consultancy offering comprehensive business services across Tax Compliance & Consultancy, Business Advice & Support Services and Superannuation.
3.Iqbal Yasir and Co
They know that our growth and success are directly linked to our commitment to excellence and professional services the provide to their clients.
What is working capital?
Working capital is calculated as current assets minus current liabilities, which is used in day-to-day trading.
How do you maintain accounting accuracy?
Some of the most common ways of maintaining accuracy in this is:
- Identify revenue streams
- Keep a close eye on invoices and receipts
Is it possible for a company to show positive cash flows and still be in grave trouble?
Yes, if it shows an unsustainable improvement in working capital and involves a lack of revenue going forward in the pipeline.