Problem In the Field Essay Example | Topics and Well Written Essays - 1500 words

Problem In the Field - Essay Example According to Riley (2012)1, the main purpose of accounting is to report on entities’ financial position and to show the financial performance of an entity over a particular period. Accounting information has a wide scope of users. These users consist of shareholders, government, creditors, suppliers, customers, public, employers, competitors, investors and managers of a business or an organization. Due to its wide scope of users, accounting information plays an important role in influencing various business decisions made in industries, companies, government offices and business entities. Accounting process follows numbers of values that enable accounting information to be reliable and useful to users. The essential ethics in accounting include honesty and integrity, faithfulness and trustworthiness, dependability and reliance and ability to care for others (Connell, 2002). 2 Accounting provides many benefits to users in different areas of the economy in Today’s World. First, accounting information and knowledge is widely used in all job specialties. Auditors apply accounting techniques in studying financial statements in the process of evaluating integrity and accuracy of enterprises. Secretaries use accounting information in carrying out different tasks in their organizations. For example, secretaries manage check books and order statements in different companies using accounting knowledge. Executives also use accounting information in financial statements in judging performance and success of companies and organizations. Executives use accounting information in determining growth rates of their companies and the profit margin obtained. Accounting information and techniques are important for individual and personal benefits. Use of accounting information enables individuals to assess, manage and control personal finances adequately. In addition, individuals may apply accounting techniques and