Bookkeeping and Accountancy, Bookkeeping is the process of systematically recording, organizing, and maintaining financial transactions and records of a business. It involves tasks such as recording sales and purchases, tracking income and expenses, reconciling bank statements, and maintaining general ledgers
. Bookkeeping focuses on accurately and consistently recording financial data to provide a clear picture of a business’s financial activities.
Accountancy, on the other hand, is a broader field that encompasses various activities related to financial management and reporting. It involves analyzing and interpreting financial data to provide insights into the financial health and performance of a business.
Accountancy includes tasks such as preparing financial statements, conducting financial analysis, budgeting, forecasting, tax planning, and providing financial advice to support decision-making.
While bookkeeping is primarily concerned with recording financial transactions and maintaining financial records, accountancy involves a deeper level of analysis, interpretation, and strategic planning based on the recorded financial data.
Accountancy helps businesses make informed financial decisions, comply with regulatory requirements, manage financial risks, and optimize financial performance.
In summary,Book keeping and Accountancy: bookkeeping is the foundational process of recording and organizing financial data, while accountancy encompasses a broader range of activities that utilize the recorded financial data to analyze, interpret, and manage the financial aspects of a business.
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