The Role of Accountants
Financial aid is needed by a company that has revenue steadly coming in. The belief that the accountants only keep track of income is not true as they are responsible for so much more. It is responsibility of an accountant to see to it that taxes are paid, statements are accurate and that a business is efficient. Adhering to these discussed areas then a company is bound to succeed.
Assistance on Cost Reduction
The efficiency of a business is guaranteed if a business follows the strategies to reduce costs introduced by the accountant. The ability to analyze income and expenditure records the same way a financial advisors can. They are able to suggest if some expenditure should be eliminated or reduced.
By example, an accountant attached to a Judge may find that large amounts of money are being spent in charitable expenses. It is the role of the judge’s accountant to compare the income being received versus the expenses. It is important to advise the judge on the same with emphasis that some expenditures must be stopped. In such a scenario, the judge can be advised to channel the monies to other plans and completely adjust the expenditure.
Tax help Assistance
Judges pay taxes too and the role of their accountant is to ensure they honor their obligations.
The well-being and reputation of the judge benefits greatly because by not doing the same then a judge’s credibility can be damaged in case they are not found to be paying taxes. Timely disbursing of tax returns and properly calculating them is the responsibility of the accountant.
Statements that are accurate are emphasized. You find accountants being contracted to professionally assist. Arresting any activities that are being carried out in a company can easily be detected from the accurate records.
If finances are abused the judge can be left in jeopardy and in a financial mess. The scandal that was reported sometime in 2001 is one such scandal. This business was before the scandal ranking very high in profits.
Many officials were involved in the embezzlement. The reputation of Enron was badly damaged and till now the company is struggling and still said to be defunct.
Mistakes in financial books can easily endanger a business. In the case of a new company that acquires a property due to the income that they are receiving. They would soon realize that that was a wrong decision because the asset value is not correct. This miscalculation can only leaves the company on a very thin net income and a mortagage to service.
An accountants role is important.Financial statements and bookkeeping is responsible for the break or make of any business.