What is Financial Accounting? - Scope and Career opportunities

What is Financial Accounting?
Financial Accounting deals with the study of accounting and its concepts and measurements that underly financial statements, and developing the skills needed to analyze financial statements effectively, and gain an understanding of the choices enterprises make in reporting the results of their business activities.

The most basic objective of financial accounting is preparation of general purpose financial statements, which are financial statements meant for use by stakeholders external to the entity, who do not have any other means of getting such information.

What is the scope of Financial Accounting?
Financial Accounting has wide scope and area of application. It is not only for the business world, but spread over in all the spheres of the society in all professions.

As accounting is a dynamic subject, its scope and area of operation have been always increasing, keeping pace with the changes in socio-economic changes.

It also practiced in non-trading institutions like schools, colleges, hospitals, chartable trust, trust clubs, co-operative society and also in government and local self-government in the form of municipality, panchayat.

What are the career options for Financial Accounting?
The majority of graduates entering professional financial accounting careers will train in public practice, offering audit and business advice services (including tax advice) to clients.

Career opportunities are widely available with the accountancy firms, investment banks, banks, insurance companies, building societies management consultancies and public sector companies.

These may include stockbroking, corporate treasury management, tax work, IT in the financial sector, company secretary, solicitor, financial information services and pensions management.

What are the job roles for Financial Accounting?