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April 2014
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Disadvantages of Financial Accounting

Accounting is not entirely free of certain limitations on support. In fact, financial accounting allows some alternative therapies too. The general accounts are based on the concepts commonly called?? The generally accepted principles. But there is more of a principle for the effective treatment of one of the factors to be taken up. This allows other treatments in the context of generally accepted financial principles. Financial accounts, sometimes it does not provide information in a timely manner to the essentials. In fact, there is certainly a limit when the software applications of high power used to keep in line and concurrent accounts where the balance on a instante.Sistemas financial accounting are designed so that the information states known as the balance sheets and income statements, usually for a period of one year. Thus, the information received is said that a historical analysis and post-mortem figures above can be made. All necessary information given at the right time, at regular intervals so that the management team to plan and take corrective action. As tradition goes, the method of financial accounting should not lead to relevant financial information on a distance of less than one year. Now with the advent of computerized accounting products fresh, the monthly benefit and account information may be unknown, thereby overcoming the limitations existentes.Algunos believe that the financial statements and accounting reports is influenced by personal judgments. The convention of ‘objectivity’ is respected around the world in terms of accounting, but to keep records of certain events estimates have to be excellent, which requires intelligent information and personal opinion. We can not expect accuracy in regard to estimates of the future, and, therefore, objectivity suffers. Financial accounts, sometimes overlooked important information not monetary. But the interesting fact is that financial accounting does not consider these activities as something that is non-monetary. For reference, the intensity and extent of competition facing the firm in business, the latest technical innovations that the organization, loyalty and the factor of employee efficiency, etc. are important issues society management would be very interesado.Sin However, accounting is not designed to take note of these issues. Thus, any end user of financial information, of course, deprived of essential information for any non-monetary. Today, real good accounting soft with MIS and CRM can be useful for bookkeepers to overcome this limitation, at least partially. Another disadvantage is that financial accounting does not allow a very detailed analysis. The information provided is, in fact, that the total of various financial transactions that took place during one year. In a way, allows accountants to examine the overall performance of business development, where the information relates to the costs, revenues and benefits of each and every product.

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