Accounting and book keeping (meaning)

Accounting is prose of recording,classification,selecting,measuring,interpreting and

communication of financial data of organizational to enable users make a final decision.
In according to American accounting association (AAA) opined/viewed/suggested accounting
as the process of measuring and communicating,economic information to permit judgement
and decision by users of the information.
Since, Accounting is a language that communicates economic information to people who
have an influence in organizational then is can categories into the following.
Users of accounting
Manager’s:- there required information that will assist them in their decision making
and control activities.

Shareholders:- Required information on the value of their investment as well as the

return accruing from their investment.

New investors:- they required information on the profitability level of their organization
before investing their resources in that organization.

Creditors and providers of a loan capital:- their required information on firms ability to
meet its financial obligations as at when due.

Employee’s:- required information on the ability of firms to meet wage demand and
avoid retrenchment.

Government:-required information on sellers activities,investment,stocks,dividend

paid taxation for the purposes of accessing the social responsibility activity or
objective of the organization.

The federal board inland revenue will required information the amount of profit that are
subjected of taxation.

Non-profit organization:- required information for performance evaluation.