Q.Define accounting.

Accounting is the systematic process of identifying, recording, classifying, summarising, analysing, interpreting and communicating an entity's financial transactions to its users.

In the Tamil Nadu HSC Class-11 Accountancy syllabus, accounting is defined as the process of:

• Identifying the financial transactions and events of a business,
• Recording them in the books of account in monetary terms,
• Classifying and summarising the recorded data (ledger, trial balance, final accounts),
• Analysing and interpreting the results, and
• Communicating the information to interested users (owners, managers, investors, creditors, government, etc.) so they can take informed decisions. …