Is Accounting Important to Small Businesses? Explain

Question

Examlex · Accepted Answer

The Answer is What makes a business businesslike is its focus on making money,and in the end,the only way an owner knows or can prove to others that money is being made is through keeping careful accounting records.Accountants themselves think of five reasons why accounting is important to a small business:
1.It proves what your business did financially.
2.It shows how much your business is worth.
3.Banks,creditors,development agencies,and investors require it.
4.It provides easy-to-understand plans for business operations.
5.You can't know how your business is doing without it.

Is Accounting Important to Small Businesses? Explain

Definitions: