The systematic recording, reporting, and analysis of the financial transactions of a business is called ________.
A) accounting
B) reconciliation
C) cost analysis
D) cash flow analysis

Question

Quizplus · Accepted Answer

Accounting is the process of recording, classifying, and summarizing financial transactions to provide information that is useful in making business decisions. Reconciliation is the process of comparing transactions in accounting records with those on bank statements to ensure accuracy. Cost analysis is the process of identifying and tracking the costs associated with a particular project or activity. Cash flow analysis is the process of analyzing the inflows and outflows of cash in a business to determine its liquidity and ability to meet financial obligations. Therefore, only option A is the correct answer.

The Systematic Recording, Reporting, and Analysis of the Financial Transactions