Why Society Needs Accountants

In: Business and Management

Submitted By UrBA5O5
Words 623
Pages 3
“Why society needs accountants” – Trust, the key of our economy

Nowadays we live in a society which is more complex than ever. The improved information systems of the last decades made the world more integrated, intertwined and interdependent than before. Due to the high speed of information sharing, the perspective of the world can literally change in a day. Perhaps most illustrative for this is the financial capital market. Millions of profits are being made by traders, taking advantage of a split second of arbitrage. Bad news from China can affect the stock markets in the world for weeks. Misunderstood US mortgages could initiate of a global economic crisis of which is affecting our society still nowadays. But the question is: why are accountants needed in this complex society? What is the role of an accountant in our society ? First I will discuss the role of accounting in the current accounting and subsequently I will elaborate why an accountant is hardly needed in the future.

Because our society nowadays is so fast and interdependent, ‘trustworthiness’ is a vital assets mar-ket participants require to function. For instance, when you buy your study book online, you pay an amount up front and you trust the bookstore to deliver the book in time. You probably pay with your bank account. A place where you, trust a large proportion of your wealth to. The bookstore accepts your electronic payment, relying on the fact that they can use it to make other payments or convert is in cash. And even cash is an interesting phenomenon. We all know that the real value of the paper is not a fraction of the perceived value which is noted on top of the paper. We all agreed on the fact that a €50 note has a value of €50. We all trust in the fact is resembles the value of €50. But what if this trust disappears? What if nobody wants to accept your cash? If the bank will not…...

Similar Documents

Why Business Need an Efficient Mis

...Why Businesses Need an Efficient Management Information System? We are living in a time of great change and working in an Information Age. Managers have to assimilate masses of data, convert that data into information, form conclusions about that information and make decisions leading to the achievement of business objectives. For an organization, information is as important resource as money, machinery and manpower. It is essential for the survival of the enterprise. Before the widespread use of computers, many organizations found difficulties in gathering, storing, organizing and distributing large amounts of data and information. Developments in computer technology made possible for managers to select the information they require, in the form best suited for their needs and in time they want. This information must be current and in many cases is needed by many people at the same time. So it has to be accurate, concise, timely, complete, well presented and storable. Most firms nowadays depend on IT. The term management information system (MIS) made its first appearance in U.S. navy report on the use of computers to construct a single integrated system to manage all navy resources. A management information system (MIS) is a subset of the overall internal controls of a business covering the application of people, documents, technologies, and procedures by management accountants to solve business problems such as costing a product, service or a business-wide strategy.......

Words: 2181 - Pages: 9

Why Are Certified Public Accountants Important to the Accounting Industry, and Why Their Role Is

...Why are Certified Public Accountants Important to the Accounting Industry, and why their role is Important to Business, Industry, and Society? Virginia Commonwealth University Writing and Rhetoric April 15, 2011 Why are Certified Public Accountants Important to the Accounting Industry, and why their role is Important to Business, Industry, and Society? CPAs became prominent after the 1800s when America started into the industrial era. They mainly did the basic bookkeeping for businesses at that time. As the industrial age grew and the government started to impose taxes, CPAs became more important to businesses as they now had to handle the filing of taxes for businesses. Although many people don’t see how important CPAs are to business, industry, and the economy, as well as, society. With the many changes over the centuries that government and CPA societies have put on CPAs, there have been some big changes in educational requirements, as well as governmental regulations. But in today’s society ethics has become the biggest problem that CPAs have to deal with and yet have more control over in the economy, and especially in business and industry. History has shown just how business and industry has needed CPAs, from controlling payroll and taxes, auditing accounting journals at the local mom-and-pop stores, to auditing financial papers of big corporations in order to let the investors at banks and Wall Street have some sort of an...

Words: 4316 - Pages: 18

Why Do People Need God?

...Religions in the 21st century- Why do people need God? In this 21st century of science and technology, many changes can be observed, compared to a few centuries ago. Especially, the significance of science has increased our generation to ask for evidence and logical explanations for many things that exist in our current world. Also, with the increased rate of literacy and education level compared to centuries ago, people are not as naïve as those in the past, believing in superstitions, myths and legends. Table 1: the literacy rate of the world as of 2 February 2010, 14:43 (http://upload.wikimedia.org/wikipedia/commons/0/07/World_literacy_map_UNHD_2007_2008.png) With the high rate of literacy across the world, as seen in Table 1, we would think that the religion for the educated- 21st century people would be majoring in Atheism. Atheism follows the idea of no God or divine bring. Their beliefs about the universe are usually based on scientific findings. They do not believe in afterlife, thus to them, this one life is of great importance. Only humans can help themselves and each other to solve the world’s problems. However, this is not true, as seen in Table 2 below. Table 2: the approximate number of adherents worldwide for the most common seen religions (http://www.religionfacts.com/big_religion_chart.htm) Religion/Sect/ Belief system | Adherents Worldwide (approx.) | Atheism | 1.1 billion (this figure includes agnostic and non-religious, which tend to be grouped...

Words: 835 - Pages: 4

Why We Need Sleep

...concentration, and it is actually believed that sleep also helps wound healing. Scientists proved this by doing a test on mice. Mice were deprived of sleep for 24 hours and compared to a control group; the sleep deprived rats ended up having a 20% decrease in white blood cells. Every living thing needs some form of recovery in their lives and sleep is the answer. Today more and more people are sleep deprived and society doesn’t realize how imperative sleep is to your daily life. No one in America is getting enough sleep and according to Mary Carskadon professor of psychiatry and human behavior at Brown University says, “Adults need 8 hours a night, but 50% get less, and 25% get less than 7 hours. Teenagers now average about 2 hours less sleep a night than they did 80 years ago…” This is an alarming fact and should be more publicly known throughout the country. Another fact to look upon is one reported by Centers for Disease Control and Prevention stating that “40% of the population reported unintentionally falling asleep during the day, and nearly 5% reported nodding off while driving in the preceding 30 days.” Both statistics concretely show that today’s society is completely sleep deprived, and needs improvement. There are very serious risks and unbeneficial consequences coupled with continuous sleep deprivation. People encounter many unfavorable results when they introduce little sleep into their routines....

Words: 307 - Pages: 2

Why Mgrs Need an Evolutionary Theory

...STRATEGIC ORGANIZATION Vol 4(2): 201–211 DOI: 10.1177/1476127006064069 Copyright ©2006 Sage Publications (London,Thousand Oaks, CA and New Delhi) http://so.sagepub.com S O ! A P B OX E D I TO R I A L E S S AY S Why managers need an evolutionary theory of organizations Peter J. Richerson University of California–Davis, USA Dwight Collins Presidio School of Management, USA Russell M. Genet Orion Institute, USA Introduction Most observers have agreed that the theory of human behavior derived from the assumption of selfish rationality is inadequate to describe human behavior and human organizations (Rousseau et al., 1998). The issue is what other approach to theory building will provide an adequate theoretical toolkit for human behavior. We argue in this essay that evolutionary theory is the proper foundation for the human sciences, particularly a theory that includes an account of cultural evolution. This theory shows how the limited but real altruistic tendencies of humans arose by tribal-scale group selection on cultural norms followed by coevolutionary responses on the part of our genes. Our tribal social instincts in turn act as a moral hidden hand that makes human organizations possible. We introduce this theory and describe some implications of it for strategy and organization. In effect, managers want to control the cultural evolution of organizations so as to make them perform better. Understanding the tribal roots of our social instincts and the dynamic......

Words: 5043 - Pages: 21

Why Do You Need It? South

...Why do you need a property valuation? By definition, the term value in the economical sense means “the desirability of something, often in terms of its usefulness or exchangeability” and the “something” shall, for the purpose of this article be, fixed property or realty. There are many differences between the various property types - e.g. residential, commercial, agricultural, industrial etc. - but the basic principles remain the same and for ease of reference we shall focus on residential property in this article as most readers will, no doubt, be able to relate to this type of realty. Property owners seeking to sell their property will know that before marketing the property, one has to establish a value (or price level) which it should attain and at which it can be sold within a reasonable period of time. A large number of property owners do not know what their property is worth nor do they have the expertise or knowledge by which they can determine its value. The obvious solution would be to employ the services of an independent professional valuer/assessor. Common practice however, is to opt for a free valuation usually offered by estate agents with which potential clients are lured into signing up for other services. This has created the misconception amongst the general public that estate agents automatically also qualify as professional property valuers/assessors. The fact is that an estate agent can offer an opinion on the market value of a realty but should...

Words: 1471 - Pages: 6

"Why the Future Doesn't Need Us

... Question Write a three- to five-page (600-900 word) response to the following question: In "Why the Future Doesn't Need Us" (pp. 285-301), Bill Joy expresses a powerful pessimism about the dangers of technologies that may be developed later in our century. Joy also a muted optimism about humans' ability to use ethical principles to avoid those dangers. What are Joy's best reasons for being pessimistic? What are his strongest reasons for expressing optimism? As you consider the relative strengths and weaknesses of those reasons, explain whether and why you find yourself more pessimistic or more optimistic about the issues that Joy raises. (PL 401) INTRODUCTION The development of technologies in the modern world has been seen to many as blessing. The use of technology has greatly affect the living style of human race as most of them are develop to improve life of human being and also prolong their lifetime, for instance the use of technology such as robot in carrying out surgical operation in the hospitals to treat diseases like cancer, genetic engineering in farming to increase production is a great promised that the technology has brought. On the other hand, Bill Joy who is a well known computer elite expresses his fear that the technology advancement in the modern world could bring more harm than good to human race and the planet at large. Joy feels that the technologies that may develop later in the 21st......

Words: 996 - Pages: 4

Why You Need Personal Branding

...The making of the CEO - Why you need Personal Branding Now that you’re in the most prestigious business school, what is next? Now that you have landed that job, what is next? Now that you have obtained that degree, what is next? Competition in today’s business world has grown even stiffer, making it really tough to stand out and shine through the clutter. Good grades and lots of extracurricular activities alone won’t guarantee that. So, one of the best ways of staying ahead of the pack in today’s business world is to stand out, have a unique brand amongst peers. Bottom line, It’s about bringing who you are to what you do and how you do it. It’s about making your mark by being your-best-self. It's about what you're known for and how people experience you. Now that is personal Branding and if you don’t know, you already have one. How to prove it, Ask your friend, colleague or just a neutral person what they think when they see you or hear your name. Many of us are somewhat ‘digital natives’. We are citizens of 2, 3 or even more digital/social media communities - LinkedIN, facebook, twitter, Instagram, Blogs etc. All of these are some of the composite part of your personal brand. They speak volume about you, have shaped people opinion about you. So if ever wondered why some people do not take you seriously, you need to check what it is you’re churning out physically, socially, or digitally. Good news is this, while you may not be able to do much about what you’ve......

Words: 298 - Pages: 2

Why Does Society Need Accountants

...One of the main questions regarding accounting in public discussion are the purpose of accounting principles and their use for society. So why do we need accounts and why does the society rely on accounting since medieval times? Frankly spoken society needs accountants since they are necessary for businesses to grow and flourish. Accountants help to solve adverse selection and moral hazard issues resulting from imperfect information within the company and with external parties which could result in a lower profitability of the business operations and a lower efficiency in the capital accumulation cycle. So one can argue that accounting is the backbone of the business financial world. The major functions of accounting and their use for society can be divided into two broad categories, which will be discussed in the following paragraphs. The first accounting category, which is often referred to as financial accounting, is comprised of information that companies intend to make available to the general public to attract new capital investments and to support the business operations. Stockholders, creditors, customers, suppliers, and regulatory authorities need detailed information while dealing with a company. The business provides them with the required relevant information via annual reports and financial statements to reduce the information asymmetries which could result in worse creditor and stockholder relations and which could prevent individuals to invest in the......

Words: 378 - Pages: 2

Why Society Needs Accountants

...Student nr: Name Mahdi Hazara Student nr: Why Society Needs AccountantsOrganizations have many people depending on them: employees need to know if they still have a job tomorrow, investors have put in large amounts of money and consumers are depending on the delivery of services and products. Those stakeholders want correct and clear information about the state and health of the organization. This is where accounting comes in and saves the day.Accounting is the collection, analysis and communication of economic information about organizations (Atrill & McLaney, 2004) from those who have it to those who need it. Without accounting, one party of a relationship cannot observe the fulfilment of duties by the other party. As a consequence, organizations can deceive those parties depending on them. Take for example a pension investment funds, investing in an organization that has everybody to believe it’s very health and growing by showing false numbers. However, in reality, it’s bankrupt tomorrow. For some people this could considerately impact their pension.Through accounting, all those people can access clear, understandable and straightforward information about an organization. More importantly, through control it ensures correctness. It allows for a better judgement how profitable the company is, whether the company will still exist tomorrow and how much it could possible grow. Resources are scare – we need to know where to allocate them. Moreover, accurate......

Words: 327 - Pages: 2

Why the Society Should Be for Wearing Uniforms

...Running Head: FOR SCHOOL UNIFORMS Main Title: Why the Society Should Be For Wearing Uniforms Emillye Edington Southern University of Shreveport Instructor: Joyce Cottonham 1 FOR SCHOOL UNIFORMS 2 Why Society Should Be For School Uniforms There are many resources that suggest that uniforms should be worn nationwide not only in private schools, but public schools as well. If we take into consideration that it may help children to behave more effentily in school then school systems could be better as well. There are many reasons as to why it could make children behave better. Bullying in schools could be decreased, unity could increase, and parents could save money by purchasing uniforms. Although bulling in schools is a worldwide epidemic that can create negative consequences, if the students wore uniforms we could minimize this horrific behavior. Students should not have to worry about if their clothes are good enough to please someone else’s expectations. According to Laura Clark, “Having a uniform helps to reduce bullying in school. Students at schools without uniform codes were liable to be bullied for the way they dressed the study found.” Teenagers who took part in the Oxford Brookes University survey said dress codes acted as a social leveler and reduced the risk of children being picked on for wearing “weird” clothes. Maybe we can decrease bullying by having school uniforms for the dress code. Having every student dress just alike......

Words: 1001 - Pages: 5

Why We Need Miss America

...We the People vs. Miss America ​In the article, Why we need Miss America by Jill Neimark, she argues that Miss America is needed because she shows the good and bad about itself. The bad things are differences in standards of beauty, race, culture, religion, parts of the country, and class. The good things are that Americans like education, positive attitude, hard workers, good fitness, royalty, gossip, glitz, and the ideal of a superwoman. In conclusion, the author wants her reader to figure out what are good and bad about young women wearing tiaras. ​There are three characteristic that Miss America should have. To start off with, she has to be well-educated because an educated person has the ability to differentiate between the right and the wrong, or the good and the evil. It is the foremost responsibility of a society to educate its citizens in a good way. Miss America becomes better with education as they are not only gaining something from it, but also contributing to the growth of a nation. Next, she has to be fit because a person looks better when she is in shape. Being fit also gives her confidence. Knowing that her body can handle just about anything she throws at, is powerful because she will inspire others to become fit. Third, she has to be inspiring because inspiration is all about feelings. Once she knows who she want to inspire, she will determine what feelings she want to feel. Miss America should be a good example to everyone, especially to young girls. In......

Words: 273 - Pages: 2

Why the World Need Nuclear Energy

...Why The World Need Nuclear Energy Thermal power stations harness nuclear energy by utilizing the thermal energy released from burning fossil fuels released from the nucleus of atoms through nuclear fission taking place in a nuclear reactor. Nuclear power has enormous advantages regarding the production costs and environmental impacts. Nuclear power is a critical technology of the power production because of the restricted carbon dioxide (CO2) emissions. The entire lifecycle of energy production emits greenhouse gases that are comparable to those of wind energy (Schmidt et al.). The CO2 recommended by the scientific communities such as the Kyoto Protocol is at the maximum of 0.4 billion metric tons that these systems have reached according to the available records (Freedman and Jaggi). For example, in Europe, nuclear plants saves about 0.7 billion metric tons of CO2 emissions annually which is much higher than the Kyoto Protocol requirements (Sada). Also, in the U.S. nuclear power plants saved equivalent amounts of CO2 in 2004. According to the climate change brochure, nuclear energy production saves the world 2 billion metric tons of the greenhouses gases emission to every year that makes about 7 percent of global emissions. Therefore, the world needs to embrace this technology for power production. Track records indicate that nuclear power provides reliable electricity compared to other sources of energy besides clean production. It follows low natural gas prices of......

Words: 500 - Pages: 2

Why Do We Need Preschools.

...itself plays a very important role. This research also highlights diverse methods of implementing preschool programs in Australia and United States of America or any other diverse country. It I believed that a universal pre-school system can benefit everyone and provide equal opportunity to every student. But Bridges (2008) argues that it is a waste of resources because families who cannot afford will not have full access and unless it is designed to the top-notch quality it will result in a disaster. Teachers play a vital role in the development of a pre-school child. It is essential to understand the culture, background and customs of the child. Training of the teacher is very essential. Not everyone can handle pre-school children. They need to be taught in a certain way so it has the greatest effect on the development of the child. Children should also be encouraged to ask as many questions as possible. It increases their cognitive skills (Persky & Golubchick, 1991). There are institutes as well as home care can be considered a part of pre-school training. The things that the child studies at the age of three form the basis of his/her academic life in the coming years. However, every child does not get equal pre-school training. Thus, results in different cognitive abilities regarding education. Pre-school education also helps the parents to determine any learning disabilities that might exist and can eliminate the chances of going to special education by effective......

Words: 2476 - Pages: 10

Why Men Needs Vision and Dream

...WHY MEN NEED VISIONS AND DREAMS 1) God’s foundational key to Gods strategy for ruling earth from heaven is the male man. 2) God’s original purpose is to extend his Heavenly kingdom to Earth. He wanted to colonize earth with heaven; he wanted to extend his invisible kingdom to this visible earth. 3) God’s goal was to fill the earth with the culture of heaven. When a kingdom colonizes a territory, it fills the territory with its culture. 4) One of the great mistakes of the church is it has reversed God’s program. It preoccupies people to leave earth, when in fact the instruction was to occupy till He comes. 5) Man was never created to dominate other men, but to dominate earth. You and I were created to dominate the resources of earth in the area of gifting. God gave all of us dominion, not over people, not even over your wife. 6) Discovery of your purpose is the source of your personal leadership. Leadership has to do with self discovery than it has to do with leading people. True leaders never seek followers, followers are attracted to the gift of the leader. 7) Vision is a preview of your purpose. 8) Man is spirit and spirits have no gender. You’ll never find in the Bible a reference to a male/female spirit. God took the first man, and put him in a body, and the first body God made was a male. Man comes in two models: male and female. 9) God only made only 1-human from the soil and he never went back. Not even women came from the soil. Out of the......

Words: 2469 - Pages: 10