Accounting is a branch of public accounting that is responsible for quantifying, measuring and analyzing the economic reality, the operations of organizations, in order to facilitate direction and control once the information has been presented, previously recorded, systematically and ordered for the various stakeholders.
Accounting includes recorded transactions, internal changes, or any other event that affects an entity economically. The purpose of accounting is to provide information at a given time on the results obtained during a period of time that is useful to its users in decision-making, both for the control of past management and for the estimation of future results, endowing such rationality and efficiency decisions.
The use of accounting is necessary in our lives to be able to manage our money in the best possible way, to use our work or family entrepreneurship with the help of an accountant who also has more knowledge of tax procedures, the payment of taxes and, above all, the preparation of balances and budgets that help us to know what to invest and how to control profits. In many ways, the accounting task turns out to be very specific and although anyone can do it, it is essential and of great importance to resort to professionals who know well what they do to avoid mistakes.
Even in many companies, large or small, the application of accounting is necessary for the proper management of finances, ensuring that it is possible to make an investment, a thorough control of debts and, above all, an accurate management of tax payments, keeping everything checked, in order and fully legalized. This is controlled internally and externally through audits and controls to ensure that institutions do not make mistakes or perform unlawful acts in the use of resources or money.