The concept of accounting? What are its characteristics?

The concept of accounting: Accounting is an economic management activity that takes currency as the main unit of measurement, adopts special methods and procedures, accurately, completely, continuously and systematically inspects and supervises the process and results of economic activities of enterprises, administrations and institutions, truthfully reflects the performance of entrusted responsibilities and provides useful economic information.

The eight characteristics of accounting are as follows:

1, Reliability: refers to the authenticity, reliability and content integrity of enterprise accounting information.

2. Relevance: It means that the accounting information provided by enterprises should be relevant to the needs of economic decision-making. In other words, it is related to the decisions made by users and has the ability to influence them. The core of relevance is useful for decision-making. Whether a piece of information is relevant depends on whether it has predictive value and feedback value.

3. Understandability: It means that the accounting information provided by the enterprise should be clear.

4. Comparability: The accounting information of an enterprise is comparable to that of other enterprises.

5. Substance is more important than form: it means that an enterprise should make accounting confirmation, measurement and report according to the economic essence of a transaction or event, not just based on the legal form of the transaction or event.

6. Importance: The accounting information provided by the enterprise reflects all important transactions or events.

7. Caution: refers to the due caution of an enterprise in transactions or events.

8. Timeliness: It means that the enterprise should confirm the transactions or events that have occurred in time.