10 Common Accounting Terms, Everyone should know!

Currency is the lifeline of commerce. Then accounting is the art of preserving commerce. Fund management and accounting are the cornerstones of a successful venture. Rising entrepreneurs need to understand that businesses cannot be run paycheck to paycheck, and sound financial decisions ensure the survival of the enterprise along with its expansion. Formally, accounting is defined as the measurement, processing, and communication of financial and non-financial information about economic entities such as businesses and corporations. It comprises a multitude of subtypes – financial accounting, management accounting, external auditing, tax accounting, and cost accounting. An outstanding amount of wit, knowledge, and skill are requisites for being an efficient accountant.