Based on IMT CDL Accounting Solution and others
Answer
The process of accounting involves recording classifying and summarizing of past events and transactions of financial nature, with a view to enabling the user of accounts to interpret the resulting summary.
The utility of accounting information is greatly increased when it is complied in a systematic manner and financial statements prepared at periodic intervals.
Note: As final Accounts are separately explains in subsequent chapter, here only fund flows & cash flows statements are explained.
