The purpose of accounting är att dokumentera/redovisa ett företags resurshantering. This is achieved inter alia by reporting financial results and financial position that exists at a given time, closing date. To do this, companies need a orderly accounting, ending with the annual financial statements and determined at the AGM.
Eett företags redovisning med jämförbar ekonomisk information gynnar alla som har ett intresse av ett företaget.
For example, relies a company's stakeholders, ie owners, employed, Public Sector, funders, suppliers and customers to varying degrees on the financial information company relinquishes. The financial statements can be the basis for assessments investment, credit applications and how much tax to be levied.
Clear accounting the uniform application there is credence to facilitate interpretation and comparison over time and between different companies and therefore reduces uncertainty among stakeholders, and thus transaction costs.
Accounting can often be audited as an independent auditor goes through the accounts and decides whether it is fair. However, it is always primarily management and the board's responsibility to account properly, auditor makes only an assessment and statement from the audit. An audit is intended, however, that increase confidence in the financial statements and reduce the need for the reader of the financial information to make their own investigations if the statement is correct.