TYPES OF ACCOUNTING

Companies connect in three types of accounting:

1. Financial accounting

2. Managerial accounting

3. Tax accounting

Managerial and financial accounting is most pertinent to the industrialist (see Table). Tax accounting, although dangerous to minimizing assessment to maximize the foundation line, is best left to specialized public accountants  (CPAs), as it give the slightest realistic view of a company's financial condition.

In short, financial accounting is used to prepare standard statements of financial in sequence for use by the communal. Managerial accounting, however, is used at the carefulness of the company, exclusively for interior purposes.