Accounting Basics
Accounting is a process of monitoring and managing the resources of a business entity, reflecting the current economic condition of the organization. The object of accounting is all the property of the enterprise, which is usually divided into:
- assets (funds of a business entity);
- liabilities (sources of their formation);
- current processes.
The control process is fully reflected in standardized documentation called the accounting register. It records the property and liabilities of the organization. In order to ensure a consistent description of the economic condition of the enterprise, the register reflects the movement of funds. They are elements that are interconnected by a system of processes that ensure the economic activity of the enterprise, and are divided into:
- supply operations;
- production or other activity establishing the existence of the enterprise;
- operations to implement its activities.
Budget Accounting and Reporting
All listed business processes consist of many other elements registered in accounting registers. They are a prerequisite for doing business in the modern economic system of market relations. Strict reporting for accounting is the main factor in the existence of this industry as a whole. Indeed, every day people are trying to save more and more, and well-analyzed registries are the shortest way to achieve this goal.
Partial or full state financing entities
Accounting in budgetary organizations
it is all the same bookkeeping, but only with partial or full state financing of the accounting object. It is based on estimates of the income and expenses of the institution. Accounting in
budgetary organizations is conducted in accordance with the stipulated reporting procedure for these business entities. And they are determined, according to the charter, by the relevant constituent documents and financial bodies. Accounting and control of operations on the distribution of funds in this case is carried out by the Federal Treasury. It monitors how accounting is carried out in budgetary organizations, and whether the entire process of relevant regulatory acts and the legislation as a whole is supported. Thus, this type of control of distributed public funds is an ordinary element of the reporting system and a tool for the distribution of resources of a business entity. In addition, accounting in budgetary organizations
provides the following tasks:
- compliance with relevant regulations, decrees and legislation in general;
- the use of modern reporting methods;
- monitoring the preliminary processing of documents;
- ensuring information transparency of the economic condition of the organization;
- formation of reserves of financial stability in order to prevent a negative result during the period of economic activity of the enterprise
- extremely accurate statement of the organization’s budget and its intended use.
Thus, bookkeeping is not only a way of counting money, but also a tool for total control over all values in an enterprise, organization, in the country and in the world as a whole.