ASSIGNMENT 1 FRONT SHEET

Qualification BTEC Level 4 HND Diploma in Business

Unit number and title Unit 5: Accounting Principles (5038)

Submission date Date Received 1st submission

Re-submission Date Date Received 2nd submission

Student Name Hoang Thi Minh Phuong Student ID BH00706

Class BA06301 Assessor name

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I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand that
making a false declaration is a form of malpractice.

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I. INTRODUCTION
This is an article made to clarify research on "The Role of Accountants in Organization", as
an internship through PricewaterhouseCoopers (PWC) Vietnamese SME Graduate Intern
program. This article uses the market resources and accounting services of PwC to find and
fulfill the requirements of old and new customers. Based on the above, this article is divided
into two parts: The first part provides a more in-depth explanation of the accounting
function of the organization, including the definition and purpose of the organization, as
well as the main users of the accounting information, the second section discusses the
background and purposes of financial and management accounting. including the role and
relevance of accounting, the difference between financial and management accounting, and
the organizational limitations and threats in accounting.

II. The role of accounting in an organisation.

2.1. Definition of Accounting.

Accounting involves obtaining, analyzing, and communicating financial data. The ultimate
purpose is to help those using this information make more informed choices (McLaney &
Atrill, 2018). Earning financial information is worthless unless it can lead to better
assessments. The purpose of an accountant, often misinterpreted is to produce financial
reports regularly. While it is true that accounting does these types of work, it is not a goal in
itself (McLaney & Atrill, 2018). As was previously stated, the ultimate goal of the accounting
profession is to provide users with financial knowledge to help them make better decisions
(McLaney & Atrill, 2018).

2.2 Purpose of the Accounting Function

According to The American Accounting Association accounting (1966) is defined as “the

process of identifying, measuring, and communicating economic information to allow
informed judgments and decisions by users of the information.” (Collier, P., 2003). That
process involves capturing business events, recording their financial effects, summarizing
and reporting the results of those effects, and interpreting those results. In addition, it
relates to economic information which is mainly financial information, and allows reference
to nonfinancial information (Collier, P., 2003). Its purpose is to assist in making user-
informed judgments and decisions that emphasize the usefulness of determining accounting
information and the extent to which it is used (Collier, P., 2003).

2.3 The main user of the Accounting Information

According to Paul M. Collier (2003), the users of accounting information include all those
who may be interested in the existence, profitability, and growth of a business. Divided the
users of accounting information into two groups – internal and external users. Internal users
include managers, owners, and employees of the business whereas external users include
lenders, customers, suppliers, etc.

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2.3.1 Internal Users

The owner invests capital to set up and run a company with the main goal of making a
profit (Javed, R., 2023). They're asking for accurate financial information to know what
they've earned or lost over a particular period of time. In particular, they also make
decisions on the direction of future action, including the development and narrowing of
enterprises based on financial facts (Javed, R., 2023). Information about profits and cash
flows can be found in the financial statements. Owners of small—such as private enterprises
and joint ventures— manage the company individually (Javed, R., 2023). For instance,
strategic choices made by owners regarding growth, acquisitions, mergers, and divestitures
may have a big impact on accounting. These choices have an effect on the assets, liabilities,
income, costs, and other financial indicators that are documented in the books.
Management needs financial data information to assess and analyze the company's financial
performance and financial position (Javed, R., 2023). Accounting forecasts are needed to
enable management to make important decisions and take appropriate action to improve
the profitability and cash flow of the company (Javed, R., 2023). Management uses the
information generated by the company's financial and management accounting system with
one of its main managerial roles being to establish rules and procedures for company goals
(Javed, R., 2023). For example, decision-making by management elating to a cost-control
initiative or cost-cutting measure will impact reported costs and profits.

In addition, employees are interested in information on accounting data to assess the

financial situation of a company in terms of salaries and to ensure job stability (Weetman,
P., 2016). In addition, employees' concerns about the company's financial situation also

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affect the employee's working attitude, which is assessed on the basis of salary levels,
retirement benefits, and employment opportunities for employees (Weetman, P., 2016). For
example, the company's inventory managers influence accounting information. If inventory
movements are recorded correctly, regular counting will affect the price of the sales capital
and the value of the inventory in the financial statements.

2.3.2 External Users

Lenders are individuals or financial institutions that usually lend money to and earn interest
income from it (Javed, R., 2023). They need accounting information about the company's
financial position to assess both financial performance and to reduce the risk of default,
they need reasonable assurance that the organization is on a debt repayment plan and can
guarantee the return of the original amount as well as interest repayments (Javed, R., 2023).
For example, the lenders must accurately disclose the liability and terms of the debt
contract in a transparent manner as to the amount of reserves, interest rates, debt
repayment schedules, and any related mortgage or guarantee assets. The customers are
interested in the accounting information provided from the current position of the business
organization and give an opinion about the future of the company (Javed, R., 2023). A
company's reputation for its customers can be improved or diminished by accounting
information (Javed, R., 2023). A few instances include how shifting customer's demands
might impact the company's inventory and product pricing. Precise demand projections
influence pricing strategies and inventory management choices, which in turn impact
inventory values and sales capital rates.

In addition, suppliers are individuals or business entities who usually sell goods or raw
materials to others in the form of debt repayment, sometimes referred to as commercial
creditors (Javed, R., 2023). Suppliers use accounting information to generate an idea of a
company's future debt repayability and establish long-term business partnerships, so they
want to check its cash flows and operations (Javed, R., 2023). In some cases, changes in
supplier prices directly affect inventory costs. If the supplier increases the price of the raw
material, it results in an impact on the sale price and the valuation of the inventory, which
leads to an effect on the company's financial statements.

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2.4 The roles and importance of Accounting as an information system.

2.4.1 Introduction of Accounting Information System.

Figure 2: The accounting information system (Atrill And McLaney, 2020)

Accounting Information Systems (AIS) is a process to collect, record, store, and process data
to generate information for decision-makers (Accountingedu, 2021). Accounting information
systems are a set of components that are related to each other, interact with goals, and can
use advanced technology to create and maintain a system that has a strong impact on
corporate strategy and culture (Accountingedu, 2021). With another understanding,
according to McLaney and Atrill (2020), accounting is considered to be the provision of
services to "customers", in other words, accounting is part of the enterprise's overall
information system. Users, both within and outside the enterprise, make decisions
regarding the allocation of scarce resources. These resources frequently require accounting
information as the basis for decisions in order to be allocated successfully. The accounting
information system consists of four stages that need to have certain features common to all
information systems in the enterprise, including the following stages: First, identifying and
capturing relevant information involves gathering and identifying pertinent data. Second,
recording, in a systematic way, the information received in a logical and methodical manner.
Third, analyzing and interpreting information involves tasks such as evaluating and correctly
interpreting the information collected. Lastly, the process of providing information in a way
that is appropriate for the needs of the user.

As you can see, McLaney and Atrill (2020) argue that in the four sequential phases of the
accounting information system, the first two phases involve preparation while the last two
involve the use of income information. The factor that emphasizes decision-making is mainly
the last two elements of the process: analysis and reporting of financial information. Instead
of concentrating on how information is recognized and recorded, discuss how it is used and
beneficial to users. Most people process financial data using computer systems. According
to Paul M. Collier (2003), three of the roles of accounting information systems are planning,
control, and decision-making. It is essential for many because it allows managers to use
financial and non-financial information to develop and realize strategies by planning for the

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future as well as making decisions about products, services, and prices to ensure that plans
are implemented and checked for results. In addition, accurate information is needed to
make decisions and judgments about the company's financial position and profitability
potential.

2.4.2 Interrelationship between Accounting Function and Marketing Function

The interrelationship between the Accounting and Marketing functions within an

organization is crucial for its success. Despite having distinct roles, they are related to one
another and have several effects on one another:

According to Mohammed T. Nuseir (2019), an accounting system is set up in every

enterprise to monitor the financial situation of that enterprise. Using the collected financial
statements, the accounting department supports the leadership in determining the
profitability of a business. Help estimate costs, forecast revenue, and set actual budgets that
fit your marketing strategy. The accounting and marketing departments work closely
together to track trends in business as well as manage and deal with sales promotions
launched by the marketing department. For example, an ABC company is about to launch a
new product, and the marketing department needs to look at accounting data on
production costs, labor, and general costs. Based on this, the marketing department decides
the competitive price strategy for the product.

Mohammed T. Nuseir (2019) states that accounting and marketing work together to control
costs and monitor developments and criticisms to evaluate the effectiveness of different
marketing strategies and choose the most suitable strategy. By estimating revenue and
expenditure, the accounting department can inform the associated cost units of their
projected spending limits and their (cost center) operations. Based on accounting data
evaluate the campaigns' effectiveness and apply intelligent adjustment bases depending on
important financial indicator performance. For instance, in the case of firm ABC, the
accounting department can assess the success of marketing-driven promotions. The
accounting department may determine that the marketing campaign's expenses exceed the
business's return on investment, even in the event that income from the campaign remains
consistent. Mohammed T. Nuseir (2019) states that accounting helps the company develop
budgets and provides information related to certain decisions that affect the company's
profitability. Marketing focuses on corporate image, brand, and customer relationships.
Between marketing and accounting, there's a duplicate that's management accounting.
Managerial accountants assist in the creation of new goods, uphold the company's financial
reputation in dealings with shareholders and the media, and provide guidance on prudent
financial choices concerning marketing and public relations initiatives. This results in joint
decision-making between marketing and accounting to maximize performance-based
budget allocation and reallocate resources to the most successful marketing avenues. Giving
an example ABC company, the decision to invest in a new market segment, accounting
provides financial data on potential returns, enabling the marketing department to make
informed decisions about the feasibility of an investment.

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2.4.3 Interrelationship between Accounting Function and HRM

The interrelationship between the Accounting function and Human Resource Management
(HRM) is vital to the success of any firm. Their collaboration impacts various aspects of the
business:

As per Yassir El Fkid (2023), the HR division works in tandem with the accounting division to
create staff plans and expenses, compute employee benefits, and efficiently oversee
salaries. Additionally, the HR division is crucial to maintaining labor law compliance, which
has an impact on financial reporting obligations. Accounting, on the other hand, offers HR
managers useful information with which to work when deciding on payroll arrangements,
allocating funds for training and development initiatives, and evaluating the financial
implications of recruitment tactics. As an illustration, ABC company, the HR division that
projects the business's hiring requirements for the upcoming year, collaborates with the
accounting division to budget for hiring, employee welfare, and training.

As per Yassir El Fkid (2023), accounting and human resources management (HRM) work
together to ensure that an organization's financial reporting and compliance are met. The
HR division monitors the costs of every employee's expenses, including pay, benefits, and
other staff-only savings. Furthermore, HRM is critical to maintaining the accuracy and
dependability of financial data as well as compliance with applicable laws, rules, and
industry standards. By guaranteeing that the staff is qualified and equipped to undertake
accounting duties, good HRM procedures directly affect financial reporting. For example,
ABC company, the HR department planning training programs, and the accounting
department that records all the costs incurred helps to measure the effectiveness of these
initiatives against the expected costs.

As per Yassir El Fkid (2023), the collaboration between the HR and Accounting departments
is crucial to improving the efficiency of the organization. Accounting helps the HR
department make strategic decisions including hiring, allocating, developing, and mining
employees in a cost-saving way that takes into account the cost parameters of the business.
Making decisions about how to implement the workforce that can be profitable and
accounting for the company is employee retention. By viewing employees as an asset,
organizations can better understand their true value and make informed decisions about
investing in training and development programs.

III. The Context And Purpose Of Financial And Management Accounting

3.1 Distinguishing between financial accounting and management accounting in terms of

purpose and scope.

Financial Accounting: Financial accounting is used to report the company's financial

situation to external stakeholders (Mason, 2017). This makes it easier for the board of
directors, hedge funds, potential investors, creditors, and financial institutions to examine
the company's historical performance over a particular period of time in the past. These
reports are due to be submitted once a year (Mason, 2017).

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The purpose of Financial Accounting is the gathering and reporting of financial data for
external stakeholders (creditors, contractors, etc.) on the operational performance, financial
status, and cash flows of the firm (Kenton, 2023). Management can use reporting
calculations to figure out how to manage a business with management accounting. The
commonly used technique for generating financial results for external usage is financial
accounting (Kenton, 2023).

The scope of centralized financial accounting provides historical records of the company's
performance and financial position, with financial operations strictly adhering to rules to
ensure accuracy and transparency. The information presented in the financial statements
must be audited by an independent auditor to verify its accuracy (GeeksforGeeks, 2023).

Management Accounting: Management Accounting is an accounting system that collects,

classifies, and understands financial and accounting information to help managers make
effective business-related decisions (Geeksforgeeks, 2023). Because corporate leaders need
to make operational choices in a short amount of time, management accounting must be
based on projecting future markets and trends (Mason, 2017).

The purpose of Management Accounting is provides financial information data to generate

reports tailored to the needs of specific managers and departments in the organization to
support decision-making, planning, control, and future-oriented performance assessment
(Geeksforgeeks, 2023).

The scope of centralized management accounting involves analyzing, interpreting, and

communicating financial data to an organization. Management accountants have greater
flexibility in the way they report financial data, and may provide reports that are more
pertinent and helpful for certain managers and departments. These reports may include
budget forecasts, cost analysis, false analysis, etc (Geeksforgeeks, 2023).

The difference between Financial accounting and Management accounting:

According to McLaney and Atrill (2020), management accounting and financial accounting
have the following fundamental differences:

The nature of the reports produced: Reports from financial accounting tend to be general
purpose. As was already indicated, their primary target audience is lenders and owners who
offer financing, but a wide range of other external users should also find value in the
financial information they provide. Reports on management accounting, however, are often
specificpurpose reports. They are made for a certain management and/or with a specific
choice in mind.

Level of detail: Users may get a broad picture of the business's performance and position
over time via financial accounting reports. As a result, details are frequently lost and
information is aggregated, or put together. However, management accounting reports
frequently offer managers a great deal of data to assist them in making a specific
operational choice.

Regulations: The law and accounting rule makers impose accounting rules on financial
accounting reporting for numerous firms. These rules frequently call for the adoption of a

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uniform format as well as standard content. In contrast, management accounting reports
are not bound by regulations and can be tailored to specific managers' requirements.

Reporting interval: Financial accounting reports are prepared annually for most businesses.
Otherwise, management accounting reports are regularly prepared at the request of
managers. For example, sales managers may require daily, weekly, or monthly sales reports
to monitor performance closely.

Time orientation: Financial accounting reports appear to be outdated compared to the

management accounting report. The financial accounting report reflects the performance
and position of the business at the previous time. Otherwise, management accounting
reports often provide detailed information about the company's past and future
performance.

Range and quality of information: Financial accounting reports focus only on information
that can be quantified in money and emphasize the use of objective, verifiable evidence
when preparing reports. Otherwise, management accounting reports generate reports that
contain a variety of non-financial information such as the physical volume of inventories,
number of sales orders received, etc. In addition, management accounting reports use less
objective and more difficult-to-verify information, but can still provide the information they
need to the manager.

IV. The Organizational Constraints And Threats Following The Concepts Of Accounting
Regulations And Principles As Well As Ethics In Accounting

4.1 Ethics in Accounting

According to Brinkman J. (2002), ethics is the study of good and evil, wrong and right, evil
and goodness. Therefore, ethics is the study of moral concepts, human conduct, and the
endeavor of humanity to discriminate between right and wrong. Organizations that uphold
ethical standards are able to preserve the integrity of financial transactions, corporate
operations, and employee relationships all of which have an impact on performance and the
reputation of the organization.

According to IFAC (2008), a skilled accountant must follow five fundamental principles of
ethics in accounting:

Integrity: All professional accountants are required under the integrity principle to be open
and truthful in their commercial and professional dealings. Honesty and fair dealing are
other prerequisites for integrity.

Objectivity: Due to favoritism, conflicts of interest, or undue influence from others,

professional accountants are required under the concept of objectivity to maintain their
neutrality when making professional or business decisions.

Professional competence and due care: In order to guarantee that a client or employer
obtains effective professional services based on current changes in practice, law, and
procedures, a professional accountant must maintain the degree of professional skills and

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expertise that is necessary. A professional accountant must operate with diligence and in
compliance with relevant technical and professional standards while rendering such
services.

Confidentiality: Unless required by law or their professional obligations, an accountant

should protect the confidentiality of any information they get via their expertise and
business relationships. They should not release such information to third parties without
proper and specific permission. Accountants and others should not utilize the information
they have acquired via professional and commercial relationships for their own personal
gain.

Professional behavior: A professional accountant needs to abide by all laws and guidelines
and abstain from any conduct that might harm the profession's reputation.

4.2 Accounting Assumptions

According to Paul M. Collier (2003), there are some basic accounting assumptions that are
generally accepted by the accounting profession as being essential for recording and
reporting financial information:

Going-Concern Assumption: The financial statements are produced with the assumption
that the company will stay open for business. Many companies have folded up shop shortly
after their concern financial reports were completed, leaving the asset values on the
balance sheet unrealizable. The ongoing functioning of a firm is a crucial premise since asset
value prices following a business's dissolution are unlikely to equal the previous cost.

Monetary Unit Assumption: Accounting keeps track of transactions and presents

information in financial terms, notwithstanding the significance of human, technological,
environmental, and market elements. This offers a constrained yet significant viewpoint on
corporate performance. Accounting data is criticized for being a sluggish indication of
performance. Needs take into account performance metrics that aren't based on money
since they are more likely to show performance-leading indications. Prioritizing financial
figures above other factors can lead to the neglect of crucial aspects such as staff morale,
innovation, customer happiness, and service quality, all of which significantly affect the
operation of businesses.

Business Entity Assumption: The business and its owners are two distinct entities; financial
reports are generated for the business independently of the owners. This is especially
crucial for owner-managed companies as they need to keep their personal funds apart from
the company's finances.

Time Period Assumption: A financial year's worth of financial data is generated. The
duration is purely random and unrelated to business cycles. Usually, businesses close their
fiscal year at the end of the national or calendar fiscal year. Since the financial year is
nothing more than the amount of time it takes for the Earth to complete one full rotation
around the Sun, the business cycle is more significant.

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4.3 Accounting Principles

These are established in generally accepted accounting principles (GAAP) and are an
important part of the accrual foundation of accounting (Tuovila, A., 2023). This implies that
income is not always reported when cash is received; rather, it is documented on the
company performance report in the conducted and earned exam. Must be complete or
substantially completed to be included in the turnover during the accounting period when
the revenuegenerating activity takes place (Tuovila, A., 2023). Last but not least, the
matching principle requires that the income and the expenses related to it occur during the
same accounting period (Tuovila, A., 2023).

Matching principle is the principle that income is closely related and recognized when it can
be sought, cost when it arises to generate the revenue rather than on a cash basis (Collier,
P., 2003). An annual financial performance picture of a corporation is more meaningfully
presented by the volume accounting system. However, the preparation of an accounting
report requires certain assumptions about the recognition of income and expenditure
(Collier, P., 2003).

The idea that companies should rate large fixed assets such as real estate and machinery,
should be valued at the cost of acquisition rather than their current market worth (Treece,
D., 2023). One of the four Generally Accepted Accounting Principles (GAAP) in the United
States is the costing concept, which is a more careful technique for valuing big assets
(Treece, D., 2023). Equitable and fair pricing of the company's assets is a requirement of the
cost principle. The initial purchase price of an asset stays stable over time, in contrast to
reasonable market value, which is frequently subjective and reliant on the market (Treece,
D., 2023). The cost principle can be used to maintain the balance sheet constant between
periods and remove the obligation to update the financial statements to the current fair
market value (Treece, D., 2023).

Paul M. Collier (2003) states that the principle of full disclosure is that all relevant and
necessary information to evaluate a business's financial statements must be provided in the
company's public domain. The accounting standards and principles applied to the financial
statements will be described in the financial report. The regulation, on the other hand,
would be hard to since it would overwhelm analysts and investors with data. It's easier to
find a way to break the rules that are set in clear terms than the more general principles.
The way disclosure requirements are interpreted affects audits and can result in criminal
charges being brought against the accounting firm.

4.4 Constraints and Threats.

Materiality relates to an item’s impact on a firm’s overall financial condition and is used to
determine whether business transactions are important to the financial results of a business
(Bragg, 2023). The materiality constraint is a key consideration in the process of closing the
books and helps accountants by allowing them to use the simplest transaction recordation
alternatives for smaller items (Bragg, 2023). If a transaction is large enough to exceed the
limit, then the transaction will be registered and therefore presented in the financial
statements and vice versa, if it does not meet this criterion, then it may be recorded or not,
depending on the case (Bragg, 2023).

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A conservative approach tends to recognize the downside of events rather than the upside
(Collier, P., 2003). Accounting is a prudent practice, in which the sometimes over-optimistic
opinions of non-financial managers are discounted (Collier, P.,2003). Conservationism
orders that when suspecting something, choose a method less likely to exaggerate wealth
and income as much as possible. Nonetheless, 'creative' accounting can occasionally result
from analysts' pressure on public corporations to fulfill the profitability expectations of the
stock market (Collier, P., 2003).

4.5 Overview of GAAP from FASB, IFRS from IASB, VAS from VmoF

GAAP from FASB

GAAPs are common accounting rules to be followed when a U.S company prepares financial
statements for distribution to people outside the company issued by the Financial
Accounting Standards Board (FASB) (Averkamp, 2023). The general rules range from the
principles, the basics to the detailed rules, set by the FASB for complex financial transactions
and the organizations to the generally accepted accounting principles in the Accounting
Standards Codification (ASC) (Averkamp, 2023).

IFRS from IASB

The International Financial Reporting Standards (IFRS) are a set of accounting rules for
financial reporting consistent, transparent, and comparable across borders (Palmer, B.,
2022). The International Accounting Standards Board (IASB) publishes the IFRS. The
International Accounting Standards (IAS), which are the previous standards that the IFRS
superseded in 2001, are occasionally mistaken for the IFRS system (Palmer, B., 2022).

VAS from VmoF

Vietnamese Accounting Standards (VAS) is a financial reporting and accounting guidebook

that includes templates for financial statements, standard account charts, accounting
numbers, and certificates in addition to comprehensive instructions on how to record
double accounting for particular transactions (Shira, D. and Associate, 2020). The
implementation of IFRS in Vietnam is the responsibility of the MoF. Vietnamese Accounting
Standards (VAS), which are the country's version of generally accepted accounting principles
(GAAP), serve as the main set of instructions for creating and maintaining books and
accounts (Shira, D. and Associate, 2020).

4.6 Discussing VAS from the Ministry of Finance

Vietnam has gradually aligned its accounting standards with international practices to
enhance transparency, comparability, and global integration of its financial reporting
system. Vietnam’s government currently has 26 VAS accounting standards based on IFRS
(Shira, D. and Associate, 2020). To provide guidance for local and foreign enterprises in
Vietnam on these standards, the Ministry of Finance (MoF) recently issued Circulars, No.
200/2014/TT-BTC and No. 202/2014/TT-BTC, which enhance the comparability and
transparency of corporate financial statements and bring the two systems closer (Shira, D.
and Associate, 2020).

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Vietnam uses the International Financial Reporting Standards (IFRS) as the basis for its own
system, the Vietnamese Accounting Standard (VAS) issued by the Ministry of Finance (MoF),
yet there are key differences between the two.

An example of IFRS is based on principles while VAS is based on rules (Misaamis, 2023). This
results in a more rigorous principle-based system while rule-based systems are somewhat
more rigid. For instance, while VAS mandates that all businesses use a single accounting
system, financial reporting forms and accounts are required. In contrast, IFRS permits
businesses to create their own accounting systems, financial forms, and accounting
documents based on the unique needs and governance requirements of the business itself
(Misaamis, 2023). In addition, there are differences in the presentation of financial
statements, with IFRS providing only general guidelines on how to present financial
reporting without any mandatory account system regulations and financial statement forms
such as VAS. For example, VAS does not allow the cost of loss of assets to be recognized
(Misaamis, 2023).

The MoF is responsible for the introduction of IFRS in Vietnam. This shows that the finance
department is gradually converging VAS into IFRSs, the finance department is working to
close the remaining gap between VAS and IFRS in order to achieve more worldwide
harmonization and integration (Misaamis, 2023). Before the Prime Minister's assent, the
Ministry of Finance also unveiled a draft IFRS road map that is broken down into three parts
until 2025 (Shira, D. and Associate, 2020). The adoption of IFRSs will bring no minor benefit
to the Vietnamese as they can access international capital markets. It enhances the capacity
to contrast Vietnamese financial statements with those of other nations globally. In
addition, it increases transparency and comparability in Vietnam's financial statements.
However, will also face no less challenges, especially when there are many differences
between IFRS and VAS. In order to comply with IFRS financial reporting, businesses must
develop an ERP software system that can capture all of the data needed by this standard
system (Misaamis, 2023). For instance, developing this software system comes at a
significant expense for some industries like banking and insurance. In general, Vietnam is
benefiting from the convergence of IFRS and VAS.

V. Conclusion
In short, at the end of the internship, asked to present all the above activities, this blog post
provides about the concepts of accounting and what accounting functions need to be.
What's more, it lists those who use key accounting information. In addition, there is a
distinction between managerial accounting and financial accounting, the interrelationship of
accounting with other departments in meeting organizational, stakeholder, and societal
needs and expectations. Finally, this blog seriously assesses the role of accounting in
providing information for decision-making to meet the needs of organizations, stakeholders,
and society within the complex range of operating environments.

VI. References

Accountingedu.org (2021) Accounting information systems - functions and parts of the

system: CPA 2023 requirements by State: CPA exam and accountant education, CPA

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 2023 Requirements by State | CPA Exam and Accountant Education. Available at:
https://www.accountingedu.org/accounting-information-systems/ (Accessed: 26
February 2024).

(No date) Thông Tin Tài Chính. Available at: http://acuonggroup.vn/thong-tin-tai-chinh-2-2-

35252.html (Accessed: 26 February 2024).

Averkamp, H. (no date) What are generally accepted accounting principles (GAAP)?:
Accountingcoach, AccountingCoach.com. Available at:
https://www.accountingcoach.com/blog/generally-accepted-accounting-principles-gaap
(Accessed: 26 February 2024).

Bragg, S. (2023a) Materiality constraint definition, AccountingTools. Available at:

https://www.accountingtools.com/articles/the-materiality-constraint.html (Accessed: 26
February 2024).

Bsc.com.vn (no date) Bức Tranh Thương Hiệu ACM - tập đoàn Khoáng Sản Á Cường, Công
ty cổ phần chứng khoán BIDV. Available at: https://www.bsc.com.vn/tin-tuc/tin-chi-
tiet/1072319-buc-tranh-thuong-hieu-acm-tap-doan-khoang-san-a-cuong (Accessed: 26
February 2024).

What are the differences between financial accounting and Management Accounting? (2022)
Bentley University. Available at: https://www.bentley.edu/news/what-are-differences-
between-financial-accounting-and-management-accounting (Accessed: 26 February
2024).

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