Importance of Accounting System

1.Measuring of resources  of a business entity. As it is shown in the balance sheet.

2.Measures the resources of a company i.e the claims and results measured at a given moment in time. The balance sheet show claims while income statement shows results.

Importance of Making a Budget

1.It compels planning and enhance managerial perspective. The management in preparing a budget is forced to look into the future. They are forced to make estimates of future economics conditions including costs, interest rate, demand for product, level of competition etc, etc. this enhances management awareness of the company external economic environment.

Forex

Forex is a new way to make money in the global currency market. Making money in forex is very similar to stocks. You will be provided with a list of currency pairs each is coming along with graphs which you can select and trade.
The object of Forex trading is to exchange one currency for another. Currencies are always quoted in pairs, such as GBP/USD,Canadian dollar/ US dollar or USD/JPY. The reason they are quoted in pairs is because in every foreign exchange transaction you are simultaneously buying one currency and selling another.

Accounting

This is a system that communicates information to an organization to act as an aid to management in the organization in coordination, planning, controlling and decision making in order for the organization to achieve its pre determined goals and objectives of profit making or use of resources.

Accounting system is standardized by accounting regulations which help the management minimize errors, fraud and waste within the organization.

Non financial information is used by management and non profit making organizations to make decisions.

Difference Between Financial Accounting and Management Accounting

1.Purpose or Objective of Financial accounting is to show the way the company accounts for revenue, expenses, assets and liabilities of an organization. This variety of information about company financial position and operating results  is used for internal use by management and external by investors, government, shareholders etc, etc. to make decisions.

Management accounting is concerned with providing information to management useful to help make decision for long range planning and controlling business operations.It gives managers information required on daily basis. The information is designed to help managers make managerial decision on daily basis or external use.

The Difference Between Memorandum of Association and Article of Association

 Memorandum of Association and Article of Association are two different documents needed during formation and running of companies. They are requirement from statutory law with handles companies to secure the interest of company stake holders. The difference between the two is about the purpose of the company and how to run it as stated below. 

Memorandum of Association

A company memorandum of association defines how a company is limited in the business it can legally undertake. Memorandum of association sets out the relationship between company and outside world and must state at least 3 things : -

The Difference Between Debenture and Prospectus

 Debenture is a document issued by company containing an acknowledgement of indebtedness which it needs not to give although it usually gives a charge on the assets of a company.

The Difference Between Job order cost and Process cost accounting

1. Job order cost accounting system refers to the method of costing where by costs are compiled for a specific quantity of product, equipment, repairs or service that move through a production process as continuously identifiable units. In process cost accounting system the method of cost accounting refers to where by cost are charged to processes of operations and the average of units produced.

Article of Association

Article of Association is the document regulating the rights of its members in the company between themselves and detailing the manner in which the business of company shall be conducted. There are many business manners dealt with in article which are of relevant to the financial members or shareholders are as follows :-

Ordinary Share

An equity interest in a company may be said to represent a share of company assets and a share of any profit earned on those assets after other claims have been met.

Equity shareholders are owners of business they purchase shares commonly called ordinary shares.

Budget

A Budget is a comprehensive financial plan that outlines the expected action for achieving the financial operational goal of an organization.

Budget is also a focus of future events which is expressed in quantitative terms for a certain period of time. A budget is made by a process known as budgeting.

Statistics

Statistics is the collection of theory and methods used and applied for understanding data. Statistics are used to provide empirical evidence that tend to support or repute theory used in various behavioral sciences. It is also used in explaining results of research studies, analyzing data, planning and decision making. It is used in business mathematics, math, weather, games, structured settlement, Forex, taxing, debt management, credit report, accounting, finance, contract management etc.