Presentation.pptAccount processing by Beta

Account by process
Guide Ness of account opening of UBL Bank Account all types

1. Department
Roll no
Submitted by:
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2. IIIIIIIIIIIIIIIIIIIIIII
IntroductionIntroduction

3. Accounting is the systematic process of identifying,
recording, classifying and summarizing financial
transactions. It transforms raw financial data into
meaningful information for stakeholders.
At its heart, accounting provides accurate insights into an
organization’s performance, financial position, and cash
flows.
Without accounting, businesses lack structure and
transparency. It supports decision-making, regulatory
compliance, and strategic planning. Accounting
information builds trust among stakeholders.

4. Users of accounting information are internal and
external. Internal users include managers and
employees who rely on financial data to plan
budgets, control expenses, and measure
performance.
External users consist of investors who evaluate
profitability, creditors who assess creditworthiness,
regulators who enforce compliance, and analysts
who use data for benchmarking and economic
analysis.
Understanding user needs ensures that financial
reports meet varying requirements and support
effective communication.

5. The core of accounting is the equation: Assets equal
Liabilities plus Equity. Assets are resources such as
cash, receivables, inventory, and property.
Liabilities are obligations like loans, accounts
payable, and accrued expenses. Equity represents
owner’s claim after debts are settled.
Maintaining this balance ensures each transaction is
recorded correctly on the balance sheet.
The equation reflects business solvency and informs
financial analysis through ratio calculations such as
debt ratio and return on equity.

6. Double-Entry Bookkeeping
.
Double-entry bookkeeping ensures the
integrity of the accounting equation.
Every transaction affects at least two
accounts, recorded as debits and credits.
Debits increase assets or expenses or
decrease liabilities, equity, or revenue.
Credits increase liabilities, equity, or revenue
or decrease assets or expenses. For example,
buying equipment for cash requires debiting
equipment and crediting cash.
Accurate recording under double-entry
facilitates audit trails, simplifies error
detection, and enhances transparency.

7. Key Financial Statements
.
Four main financial statements communicate
performance and position. The Statement of
Financial Position, or balance sheet, shows
assets, liabilities, and equity at a specific date.
 The Income Statement summarises revenue
and expenses for a period, revealing profit or
loss. The Statement of Cash Flows categorises
cash movements into operating, investing, and
financing activities, highlighting liquidity.
The Statement of Changes in Equity details
owner contributions, dividends, and retained
earnings. Together, these statements offer a
comprehensive view of financial health, allowing
stakeholders to assess liquidity, efficiency, and
profitability.

8. Fundamental Accounting Principles
Generally Accepted Accounting Principles, GAAP,
form a consistent framework. The accrual
principle recognises revenues and expenses
when they occur.
The matching principle aligns expenses with
related revenues. Materiality allows ignoring
insignificant items.
The principle of conservatism requires caution in
reporting potential losses or liabilities.
Consistency and comparability guide the selection
and application of accounting methods.
Additional principles include full disclosure and
going concern, ensuring that financial statements
present all relevant information and assume
ongoing operations.

9. Cash Accounting vs. Accrual Accounting
Cash accounting records transactions on cash
receipt or payment. It is simple but can
misrepresent timing.
Accrual accounting recognises economic events
when they occur, matching revenues with related
expenses.
Although more complex, it provides a truer view
of financial performance and position, meeting
GAAP requirements and facilitating comparisons.
While small entities may use cash accounting,
larger organisations adopt accrual to comply with
standards and provide clearer insights.

10. Role of Accountants in Strategic
Decision-Making
Strategic Decision-
Making
Accountants serve as strategic advisers, aiding budgeting,
forecasting, and variance analysis. They calculate ratios such as
current ratio, debt to equity, and return on assets to evaluate
performance. They design internal controls to safeguard assets,
prevent errors, and reduce fraud. By interpreting data trends, they
support strategic resource allocation and sustainable growth
initiatives. By presenting tailored management reports, accountants
influence operational decisions, capital investments, and long-term
strategy development.

11. Technology in Accounting
Technology in
Accounting
Accounting technology streamlines processes. Software like
QuickBooks, Xero, and SAP automate journal entries, reconciliations,
and reporting. Cloud platforms enable real-time collaboration and
remote access. Data analytics tools analyse patterns, detect
anomalies, and generate predictive insights. Automation reduces
repetitive tasks, enabling accountants to focus on analysis and
planning. Emerging technologies like artificial intelligence and
blockchain are poised to further transform accounting practices,
enhancing security and speed.

12. Career Paths and Professional
Qualifications
CP & PQ
Accounting offers diverse roles: auditor, tax consultant, management
accountant, financial analyst. Professional qualifications such as ACCA,
ICAEW, or ICAP enhance credibility and open advanced career
opportunities. Continuous professional development keeps practitioners
current with standards, regulations, and technology advancements.
Membership in professional bodies provides networking, mentorship,
and learning resources. Internships, work placements, and networking
events help aspiring accountants gain real-world experience and
professional connections.

13. Ethical Considerations
Ethical
Considerations
Ethics are fundamental in accounting. Professionals must uphold
integrity, objectivity, and confidentiality. Ethical breaches lead to
misstatements, legal issues, and reputational damage. At A.F. Ferguson
& Co., strict adherence to ethical codes ensures financial reports are
accurate, unbiased, and free from manipulation. Professional ethical
frameworks, such as the IESBA Code, guide conduct and promote public
interest, fostering confidence in financial reporting.

15. Thank You Very Much