Everything that happens in the course of business activities must be reflected in the company’s accounts so that it can be summarized, and at the end of a period presented in the form of standard financial statements: balance sheets, profit and loss statements, statements of changes in equity, and cash flow statements. Even events that cannot be quantified but have sufficient significance must be disclosed in the footnotes. Therefore, identifying accounting events and properly translating them into recordable transactions in accordance with generally accepted accounting principles (GAAP) are the core requirements for keeping orderly books and producing compliant financial statements.
KeywordsOrderly Book Generally Accept Accounting Principle Financial Account Standard Board International Account Standard Accounting Event
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