Accounting of business transactions is important so that you can know the condition of your business. Expenses and earning in business takes place daily. Investors, government authorities, share owners all will doubt business credibility if transactions are not recorded. Recording of 5 year of transaction is the rule followed by accounting services Singapore.
Types of accounting services:
Book keeping:
Book keeping is record of all business’s financial transactions. All these transaction are recorded in different accounting books like ledger, cash flow statement, bank reconciliation, profit and loss account and others. So book keeping helps to know all money transactions.
Payroll:
Payroll is process of providing compensation to employees on decided date and time by employer. Payroll is done to track working hours, calculating salary, checking accuracy of business. Accounting services also helps in making payroll tax payments.
Financial reporting:
Financial statements like profit and loss account, Cash flow, balance sheet, income statement all are maintained under this. While making any business decisions and securing funds these financial reporting provide great help.
Benefits of accounting services:
Avoiding Error:
Recording of any business earning and expenses is done under accounting. Several accounts are maintained like journal, ledger, profit and loss account under accounting. Money transactions are recorded from the very start. Thus any kind of error does not happen.
Cost control:
Control over cash transactions can be done after seeing results in financial reporting under accounting. As employer know all their expenses and earnings of business while mainting all accounts and statements through acciounting.
Budget preparation:
All business related decisions are taken by employer after seeing results of finances of all accounting records. Preperation of budget become easier for them as they get an idea where they have to spend to earn more. All other decisionsa like payment of tax, wages of employees, share capital investment also be done under this.
Prevention of frauds:
All financial transactions are actively recorded in business through accounting. Many time employees do frauds while recording money treansactions so they can earn their benefit.But accounting eliminates all kind of frauds that can be perform by employees,investors and others in business environment.
