What Is Accounting
Accounting is the language of business．It is the process of
analyzing,classifying,summarizing,and interpreting business
transactions in financial or monetary terms．Abusiness
transaction,or called accounting transaction in accounting．is an
event that has adirect effect on the operation of an economic unit
and can be expressed in terms Of monev．Business transactions
include payment of wages,buying or selling goods or services,or
anyother business activities．Just as we need to learn a language SO
as to communicate with otherpeople,we must learn''''the language of
business"SO that we are able to communicate withother business
people．
We are living in the Information Age．We need various kinds of
information for makin2decisions in our life．For instance,we need to
know the airfare and the schedule of flightsbefore we decide to
travel to a place．In doing business,one needs a lot more
information fordecision making,which is crucial for the Success of
business．Accounting provides financialinformation for decision
making about an economiC activity．It is the basis for
deCisionmaking in business．
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