Accounting:- A short definition of accounting

Definition

The systematic recording, reporting, and analysis of financial transactions of a business. The person in charge of accounting is known as an accountant, and this individual is typically required to follow a set of rules and regulations, such as the Generally Accepted Accounting Principles. Accounting allows a company to analyze the financial performance of the business, and look at statistics such as net profit.

Accountant

Definition

One who is skilled in the practice of accounting or who is in charge of public or private accounts. An accountant is responsible for reporting financial results, whether for a company or for an individual, in accordance with government and regulatory authority rules.

Accountancy

Definition

The business aspect of accounting that is made up of practice, research, and education. It also includes the guidelines that accountants are to follow when performing their tasks.

Account statement

Definition

A record of transactions and their effect on account balances over a specified period of time, for a given account. A bank account statement lists the debits and credits that took place over the relevant time period, while a brokerage account statement lists the long positions and short positions, purchases and sales, and other transactions.

Account executive

Definition

An individual who is licensed to sell securities and has the legal power of an agent, having passed the Series 7 and Series 63 examinations. Usually works for a brokerage licensed by the SEC, NYSE, and NASD. also called registered representative.

Account balance

Definition

The amount of money in an account, equal to the net of credits and debits at that point in time for that account. also called balance.

Account fee

Definition

A maintenance fee charged by some mutual funds over and above the annual management fees and distribution fees

Accountant's letter

Definition

A letter preceding a financial report, written and signed by an independent accountant, which describes the scope of the statement and presents an opinion on the quality of the data presented. An accountant's letter in an annual statement will either certify that the financials are presented in an accurate manner and meet accounting standards adequately, or withhold opinion (which is a cause for concern).