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ABM – Specialized Subject
First Quarter – Module 1
Fundamentals of Accountancy,
Business and Management 1
1
Fundamentals of Accountancy, Business and Management 1 – Grade 11
Alternative Delivery Mode
Quarter 1 – Module 1: Accounting Definition
First Edition, 2020
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Published by the Department of Education
Secretary: Leonor Magtolis Briones
Undersecretary: Diosdado M. San Antonio
Development Team of the Module
Writers:
Manuel L. Hermosa, EdD
Ma. Cristina A. Labay, MM
Ellaine I. Dela Cruz, DBA
Jupiter Q. Whiteside, MBA
Isabel A. Gumaru, DBA
Farida F. Tallud, DBM
Clarabelle V. Dalimit, DEM
Mark Vincent B. Emit, PhD
Editors:
Remylinda T. Soriano, EPS
Angelita Z. Modesto, PSDS
Illustrator:
Writers
Layout Artist: Writers
Management Team :
Malcolm S. Garma, Regional Director Name of Regional Director
Genia V. Santos, CLMD Chief Name of CLMD Chief
Dennis M. Mendoza, Regional EPS In Charge of LRMS
Maria Magdalena M. Lim, CESO V, Schools Division
Superintendent
Aida H. Rondilla, CID Chief
Lucky S. Carpio, EPS In Charge of LRMS
Division ADM Coordinator
Name of Division ADM Coordinator
Printed in the Philippines by ________________________
Department of Education – National Capital Region
Office Address:
____________________________________________
____________________________________________
Telefax:
____________________________________________
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E-mail Address:
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Introductory Message
For the facilitator:
Welcome to the Fundamentals of Accountancy, Business and Management 1.
Alternative Delivery Mode (ADM) Module on Accounting Definition, Nature and
History.
This module was collaboratively designed, developed and reviewed by educators
both from public and private institutions to assist you, the teacher or facilitator in
helping the learners meet the standards set by the K to 12 Curriculum while
overcoming their personal, social, and economic constraints in schooling.
This learning resource hopes to engage the learners into guided and independent
learning activities at their own pace and time. Furthermore, this also aims to help
learners acquire the needed 21st century skills while taking into consideration their
needs and circumstances.
In addition to the material in the main text, you will also see this box in the body of
the module:
Notes to the Teacher
This contains helpful tips or strategies
that will help you in guiding the learners.
As a facilitator you are expected to orient the learners on how to use this module.
You also need to keep track of the learners' progress while allowing them to manage
their own learning. Furthermore, you are expected to encourage and assist the
learners as they do the tasks included in the module.
For the learner:
Welcome to Fundamentals of Accountancy, Business and Management 1 Alternative
Delivery Mode (ADM) Module on Accounting Definition, Natures and History
The hand is one of the most symbolized parts of the human body. It is often used to
depict skill, action and purpose. Through our hands we may learn, create and
accomplish. Hence, the hand in this learning resource signifies that you as a learner
is capable and empowered to successfully achieve the relevant competencies and
skills at your own pace and time. Your academic success lies in your own hands!
This module was designed to provide you with fun and meaningful opportunities for
guided and independent learning at your own pace and time. You will be enabled to
process the contents of the learning resource while being an active learner.
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This module has the following parts and corresponding icons:
What I Need to Know
This will give you an idea of the skills or
competencies you are expected to learn in
the module.
What I Know
This part includes an activity that aims to
check what you already know about the
lesson to take. If you get all the answers
correct (100%), you may decide to skip this
module.
What’s In
This is a brief drill or review to help you link
the current lesson with the previous one.
What’s New
In this portion, the new lesson will be
introduced to you in various ways such as a
story, a song, a poem, a problem opener, an
activity or a situation.
What is It
This section provides a brief discussion of
the lesson. This aims to help you discover
and understand new concepts and skills.
What’s More
This comprises activities for independent
practice to solidify your understanding and
skills of the topic. You may check the
answers to the exercises using the Answer
Key at the end of the module.
What I Have Learned
This includes questions or blank sentences/
paragraphs to be filled into process what you
have learned from the lesson.
What I Can Do
This section provides an activity which will
help you transfer your new knowledge or skill
into real life situations or concerns.
Assessment
This is a task which aims to evaluate your
level of mastery in achieving the learning
competency.
Additional Activities
In this portion, another activity will be given
to you to enrich your knowledge or skill of the
lesson learned. This also tends retention of
learned concepts.
Answer Key
This contains answers to all activities in the
module.
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At the end of this module you will also find:
References
This is a list of all sources used in developing
this module.
The following are some reminders in using this module:
1. Use the module with care. Do not put unnecessary mark/s on any part of the
module. Use a separate sheet of paper in answering the exercises.
2. Don’t forget to answer What I Know before moving on to the other activities
included in the module.
3. Read the instructions carefully before doing each task.
4. Observe honesty and integrity in doing the tasks and checking your answers.
5. Finish the task at hand before proceeding to the next.
6. Return this module to your teacher/facilitator once you are through with it.
If you encounter any difficulty in answering the tasks in this module, do not
hesitate to consult your teacher or facilitator. Always bear in mind that you are not
alone.
We hope that through this material, you will experience meaningful learning and
gain deep understanding of the relevant competencies. You can do it!
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This module was written for you to accomplish at home. It was carefully
designed so that you can work at your own pace and allow self-discovery of the
concept through activities that you will perform. Activities were also selected to allow
independent learning which also aims to develop students’ reading comprehension
skills through understanding written texts.
After going through the module, you are expected to:
1. define accounting;
2. describe the nature of accounting; and
3. narrate the history/origin of accounting.
I. Fill in the blanks and identify the following terms.
1) Accounting is often referred to as a ____________________ because it is
fundamental to communication of financial information.
2) _______________________ are those that affect the assets, liabilities,
equity, income and expense of a ________________________.
3) As a practical art, accounting requires the use of creative skills and
________________ .
4) The early history of ________________ cannot be traced with much
accuracy.
5) _______________________ is the initial activity or clerical part of
accounting.
• Source: Ferrer R.C. et.al. (2017). Fundamentals of Accountancy, Business and Management part 1, Bandolin Enterprise,
(Publishing and Printing) Bakekang Sur, Baguio City
II. TRUE or FALSE
Instruction: Before each statement, write TRUE if the statement is correct or
FALSE if the statement is incorrect.
_______________ 1) Sociological and psychological matters are within the scope of
accounting.
_______________ 2) Account is the basic storage of information in accounting.
_______________ 3) Accounting is a process with the basic purpose of providing
information about economic systems intended to be useful in
making economic decisions.
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______________ 4) Accounting is a process of identifying, recording and
communicating economic information that is useful in making
economic decisions.
_______________ 5) Accountable events are those that affect the assets, liabilities,
equity, income and expenses of a business.
• Source: Ferrer R.C. et.al. (2017). Fundamentals of Accountancy, Business and Management part 1, Bandolin Enterprise,
(Publishing and Printing) Bakekang Sur, Baguio City
III. MULTIPLE CHOICE
Instruction: Choose the letter corresponding to the correct answer for each of the
questions provided below.
1. Which of the following is not an appropriate description of accounting?
a. Accounting is an information system.
b. Accounting is an exact science rather that an art.
c. Accounting is the language of business.
d. Accounting is a service activity.
2. Which of the following accounting processes comes first ahead of the others?
a. Interpreting
b. Recording
c. Communicating
d. Identifying
3. The types of information provided by accounting is/are
a. Quantitative information
b. Qualitative information
c. Financial Information
d. All the above
4. This is a process of identifying, recording and communicating economic
information that is useful in making economic decisions.
a. Accounting b, Bookkeeping c. Auditing d. Marketing
5. This essential element of the definition of accounting is the recognition of business
activities as accountable events.
a. Measuring
b. Identifying
c. Communicating
d. Reporting
• Source: Ferrer R.C. et.al. (2017). Fundamentals of Accountancy, Business and Management part 1, Bandolin Enterprise,
(Publishing and Printing) Bakekang Sur, Baguio City
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MODULE 1
Accounting Definition, Nature and History
“Direct Deliver, Inc”
(https://www.accountingcoach.com/accounting-basics/explanation)
Joe has researched his idea and has prepared a business plan that
documents the viability of his new business.
Joe has also met with an attorney to discuss the form of business he should
use. Given his specific situation, they concluded that a corporation will be best. Joe
decides that the name for his corporation will be Direct Delivery, Inc. The attorney
also advises Joe on the various permits and government identification numbers that
will be needed for the new corporation.
Joe is a hard worker and a smart man, but admits he is not comfortable with
matters of accounting. He assumes he will use some accounting software but wants
to meet with a professional accountant before making his selection. He asks his
banker to recommend a professional accountant who is also skilled in explaining
accounting to someone without an accounting background. Joe wants to understand
the financial statements and wants to keep on top of his new business. His banker
recommends Marilyn, an accountant who has helped many of the bank's small
business customers.
At his first meeting with Marilyn, Joe asks her for an overview of accounting,
financial statements, and the need for accounting software. Based on Joe's business
plan, Marilyn sees that there will likely be thousands of transactions each year. She
states that accounting software will allow for the electronic recording, storing, and
retrieval of those many transactions. Accounting software will permit Joe to generate
the financial statements and other reports that he will need for running his business.
Joe seems puzzled by the term transaction, so Marilyn gives him five examples
of transactions that Direct Delivery, Inc. will need to record:
1. Joe will no doubt start his business by putting some of his own personal
money into it. In effect, he is buying shares of Direct Delivery's common stock.
2. Direct Delivery will need to buy a sturdy, dependable delivery vehicle.
3. The business will begin earning fees and billing clients for delivering their
parcels.
4. The business will be collecting the fees that were earned.
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5. The business will incur expenses in operating the business, such as a salary
for Joe, expenses associated with the delivery vehicle, advertising, etc.
With thousands of such transactions each year, Joe is smart to start using
accounting software right from the beginning. Accounting software will generate
sales invoices and accounting entries simultaneously, prepare statements for
customers with no additional work, write checks, automatically update accounting
records, etc.
By getting into the habit of entering all the day's business transactions into his
computer, Joe will be rewarded with fast and easy access to the specific information
he will need to make sound business decisions. Marilyn tells Joe that accounting's
"transaction approach" is useful, reliable, and informative. She has worked with other
small business owners who think it is enough to simply "know" their company made
P1,300,000 during the year (based only on the fact that it owns P 1,300,000 more
than it did on January 1). Those are the people who start off on the wrong foot and
end up in Marilyn's office looking for financial advice.
If Joe enters all Direct Delivery's transactions into his computer, good accounting
software will allow Joe to print out his financial statements with a click of a button.
1. Income Statement
2. Balance Sheet
3. Statement of Cash Flows
Activity 1: The Accounting definition
And it’s Nature.
Materials: Think a personal transaction On
your community that applied accounting
process (refer to the picture, figure 1)
where income statement, balance sheet
and statement of cash flows happened.
•Source: Andres, C.S., et al. (2016) ‖Teaching Guide for
Senior High School Fundamentals of Accountancy,
Business and Management 1‖ – Published by
Commission on Higher Education in collaboration with the
Philippine Normal University
Figure 1
Activity 2: Kindly identify the following statement
_________________1. It is the process of IDENTIFYING, RECORDING, and
COMMUNICATING economic events of an organization
to interested users
_________________ 2. It involves selecting economic events that are relevant to a
business transaction. The economic events of an
organization are referred to as transactions.
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_________________ 3. It involves keeping a chronological diary of events that are
measured in pesos.
_________________ 4. It occurs through the preparation and distribution of financial
and other accounting reports.
Let’s now focused on the definition of “Accounting as the process of
IDENTIFYING, RECORDING, and COMMUNICATING economic events of an
organization to interested users.” (Weygandt, J. et. al).
You may now proceeds analyzing what ACCOUNTING is all about. Kindly
identify the following events using IDENTIFYING, RECORDING or COMMUNICATING
as an element of accounting, and kindly write your on the space provided before its
number:
_____________1. Joe will no doubt start his business by putting P1,500,000 of
his own personal money buying shares of Direct
Delivery's common stock.
_____________2. Direct Delivery will need to buy a sturdy, dependable delivery
vehicle in an amount of P200,000 as an additional fund
and recorded.
_____________3. The business will begin earning P 40,000 for delivery fees and
billing clients for delivering their parcels of P 30,000 on
account and recording.
_____________ 4. The business will be collecting the fees that were earned.
_____________ 5. The business will incur expenses in operating the business,
such as a salary for Joe, expenses associated with the
delivery vehicle, advertising, etc.
The answers from number 1 to 5 are identifying, recording and communicating,
because the situation present the universal accounting elements as:
IDENTIFYING – this involves selecting economic events that are relevant to a
business transaction. The economic events of an organization
are referred to as transactions.
RECORDING – this involves keeping a chronological diary of events that are
measured in pesos. The diary referred to in the definition are the
journals and ledgers.
COMMUNICATING – occurs through the preparation and distribution of
financial and other accounting reports.
(Note: the identification, recording and communication of economic events clearly
define accounting.)
Likewise,
According
to
Accounting
Theory
(http://accountingtheory.weebly.com/nature-and-scope-of-accounting.html):
―Accounting is a systematic recording of financial transactions and the presentation of
the related information to appropriate persons.‖ Based on this definition we can derive
the following basic features of accounting:
• Accounting is a service activity.
• Accounting is a process
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• Accounting is both an art and a discipline.
• Accounting deals with financial information and transactions
• Accounting is an information system
Let us check: The following economic activities below and check if it provides
accounting features. Kindly put a letter “Y” if the transactions conform as an
accounting transaction and a letter “X” if not.
_____________1. Joe earned additional P 20,000 on their share at Direct
Delivery, Inc.
_____________2. He bought P 4,500 office supplies.
_____________3. The employee salary was due last January 15, 2018.
_____________ 4. The business will be collecting the fees that were earned.
_____________ 5. The business will incur expenses in operating the business,
such as a rent expense, electricity expenses, water and
others.
_____________ 6. He had a P200,000 back up on his account.
The answer in all numbers 1 – 5 are “Y”, because if present features of
accounting like service activity, process, both arts and a discipline, financial
information and transactions and information system, and 6 is “X‖ because it a
personal transaction.
Like all things, who, what, where, when and how a thing exists. Let us arrange
the accounting history: Match Column A to Colum B.
Column A
1 Cradle of Civilization
2 14th Century
Colum B
A Beginning of Modern Accounting
B Mass production and great
importance of fixed assets
c Development of Accounting
Theory
d Father of Accounting
e Double-Entry Bookkeeping
F Clay Tablet
3 French Revolution
4 Luca Pacioli
5 Industrial Revolution
6 19th Century
Answer: 1) f 2) e 3) c 4) d
5) b
6) a
History: Accounting is as old as civilization itself. It has evolved in response to
various social and economic needs of men. Accounting started as a simple recording
of repetitive exchanges. The evolution of accounting: • Cradle of Civilization - The
oldest evidence of this practice was the “clay tablet” of Mesopotamia which dealt with
commercial transactions at the time such as listing of accounts receivable and
accounts payable. • 14th Century - Double-Entry Bookkeeping. • French Revolution
(1700s) - The thorough study of accounting and development of accounting theory
began during this period. Social upheavals affecting government, finances, laws,
customs and business had greatly influenced the development of accounting. • The
Industrial Revolution (1760-1830)- Mass production and the great importance of fixed
assets were given attention.
• 19thCentury – The Beginnings of Modern Accounting in Europe and America - •
The Present - The Development of Modern Accounting Standards and Commerce.
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Independent Activity 1:
Case Explorations
Mr. Bean is a retired government employee who is good in baking. One day
he decides to put up a bakery shop in their barangay. He renovates a portion of his
house to serve as the area to produce bread. He purchases baking equipment and
raw materials to produce five different types of bread. Mr. Bean also hires Jack to
help him with the baking and, at the same time, to be in-charge of sales. Mr. Bean
pays Jack on a weekly basis. Every day, Mr. Beans wife deposits the daily cash
sales in their bank account at XY Savings Bank. With the help of accounting, what
possible decisions or questions of Mr. Bean can accounting provide an answer to?
Answer:
___________________________________________________________________
___________________________________________________________________
_________________________________________________________________
Independent Activity 2: Matching Type – Match Column A to Column B
Accounting History Made Easy
1
2
3
4
5
Column A
Beginning of Modern
Accounting
Mass production and great
importance of fixed assets
Father of Accounting
Double-Entry Bookkeeping
Clay Tablet
Colum B
a Cradle of Civilization
b 14th Century
c Luca Pacioli
d Industrial Revolution
e 19th Century
.








Accounting is a process of identifying, recording
 and communicating economic information
that is useful in making economic decision.
Only ―accountable events‖ are recorded in the accounting books. Accountable events
 are
those that affect the assets, liabilities, equity, income and expenses of a business.
The information processed in an accounting system is
communicated to interested users
through accounting reports (e.g. financial statements)
Accounting is considered the ―language
 of business‖ because it is essential in the
communication of financial information


Accounting History
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What I Need to Reflect
Accounting is a challenge as a whole; It is a good subject to learn because
accounting knowledge is in demand . Dealing with financial transactions, Recording
of information, Classification of Data Making Summaries, Analyzing, Interpreting the
financial information, and Communicating the results how accounting works . In a real
scenario, where our life is a center of the economic activities realizes the importance
of it. Thus, everybody do the activity in the way they do as identified and
communicating the result. “The beginning is the most important part of Work – Plato”
For further enhance the knowledge of accounting definition, nature
and history, kindly visit the following:
1. www.investopedia.com/terms/a/accounting.asp
2. www.merriam-webster.com/dictionary/accounting
3. www.en.wikipedia.org/wiki/Accounting
4. https://en.wikipedia.org/wiki/History_of_accounting
5. https://ph.video.search.yahoo.com/yhs/search?fr=yhs-itm001&hsimp=yhs-001&hspart=itm&p=define+accounting#id=
1&vid=3a962982f5b818a588e2a2517f70df7e&action=click
6.
https://accountingtheory.weebly.com/nature-and-scope-of-
I. FILL IN THE BLANKS.
Instruction: Complete the following statements.
1. ______________________ is a type of information expressed in
numbers, quantities, or units.
2. As a _________________, accounting is a body of knowledge which
has been systematically gathered, classified and organized.
3. A ____________________ is one that consists of an input, a process,
and an output.
4. Accounting as a _____________________________ is likened to a
Global Positioning System (GPS) attached to a car.
5. Good management is the key to a business _____________________.
• Source: Ferrer R.C. et.al. (2017). Fundamentals of Accountancy, Business and Management part 1, Bandolin Enterprise,
(Publishing and Printing) Bakekang Sur, Baguio City
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II. TRUE or FALSE
Instruction: Before each statement, write TRUE if the statement is correct or
FALSE if the statement is incorrect.
_________ 1) Financial information is a quantitative information.
_________ 2) Quantitative information is expressed in units and numbers.
_________ 3) All types of events are recorded in the accounting books.
_________ 4) Auditing is a process of identifying, recording and communicating
economic information tha is useful in making economic decision.
_________ 5) The basic objective of accounting is to provide quantitative financial
information about an entity that is useful in making rational economic
decision.
_________ 6) Marketing is responsible in creating value for customer and building
strong customer relationships.
_________ 7) Management is a process of establishing common objectives,
coordinating efforts towards those objectives, and efficiently and
effectively utilizing available resources to achieve certain goals.
_________ 8) As a practical art, accounting is a body of knowledge which has been
systematically gathered, classified and organized.
_________ 9) Bookkeeping and accounting are synonymous.
_________ 10) Accounting is often referred to as a “Language of business” because
it is fundamental to the communication of financial information.
• Source: Ferrer R.C. et.al. (2017). Fundamentals of Accountancy, Business and Management part 1, Bandolin Enterprise,
(Publishing and Printing) Bakekang Sur, Baguio City
III. MULTIPLE CHOICE
Instruction: Choose the letter corresponding to the correct answer for each of the
question provided below.
1) __________ needs the accounting information of an entity to evaluate the risk of
his investment in the company.
a) Shareholders
b) Lenders of Finance
c) Investors
d)Creditors
2) It refers to the process of recording the accounts or transactions of an entity.
a) Accounting
b) Bookkeeping
c) Auditing d)Journalizing
3) The accounting process is the recognition or non-recognition of business activities
as accountable events.
a) Identifying
b) Communicating
c) Measuring
d) Recording
4) It is a facet of business that is responsible for building good rapport with
prospective clients and customers.
a) Production
b) Management
c) Marketing
d)Accounting
5) It is face of business that is responsible for providing information that is useful for
making economic decisions
a) Production
b) Management
c) Marketing
d) Accounting
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6) Which accounting process pertains to preparation and distribution of accounting
reports to potential users of accounting information.
a) Identifying b) Communicating c) Measuring d) Recording
7) Which of the following is not a valid statement regarding measuring process of
accounting?
a) The Philippine peso is the unit of measure used in recording accountable
economic transactions.
b) Useful financial information needs to be expressed in terms of a common
financial denominator.
c) Current cost is the most common measure of financial transactions.
d) Measuring is considered as the technical component of the accounting
process.
8) In business, human resource department are involved with
a) Planning
b) Directing
c) Staffing
d) Organizing
9) He is considered as the father of modern accounting.
a) Devin Pascoli
b) Amatino Manucci
c) Fra Luca Pacioli
d) Jacques Savary
10) The primary responsible for the financial information of an entity are:
a) Stockholders
b) Employees
c) Investors d) Management
• Source: Ferrer R.C. et.al. (2017). Fundamentals of Accountancy, Business and Management part 1, Bandolin Enterprise,
(Publishing and Printing) Bakekang Sur, Baguio City
References:
• Accounting Theory (n.d.) Retrieved from ttp://accountingtheory.weebly. com/natureand-scope-of—accounting
• Andres, C.S., et al.(2016) ‖Teaching Guide for Senior High School Fundamentals
of Accountancy, Business and Management 1‖ – Published by Commission on
Higher Education in collaboration with the Philippine Normal University
• Ferrer R.C. et.al. (2017). Fundamentals of Accountancy, Business and
Management part 1, Bandolin Enterprise, (Publishing and Printing) Bakekang Sur,
Baguio City
• Rabo, Joy S. et.al. (2019). Fundamentals of Accountancy, Business and
Management 1 (K to 12 Revised Edition), Vibal Publishing, Manila
• Valencia, E. and Roxas, G. (2009). Basic Accounting, 3rd ed. Valencia Education
Supply
• Valix, Conrado T. et.al. (2015). Financial Accounting, Vol. 1, First part. GIC
Enterprises & Co. Inc • Weygandt, J. et. al. (2012) Accounting Principles 10th ed.
John Wiley & Sons (Asia) Pte. Ltd.
15
Answer Keys: Module 1 – Accounting Definition, Nature and History
What I Know
I. Identification:
1. Language of Business
2. Accountable events, Business
3. Judgment
4. Accounting
5. Identifying
II. True or False
1. False
2. True
3. True
4. True
5. True
III. Multiple Choice
1. B
2. D
3. C
4. A
5. C
What’s In
Activity 1
1. Accounting
2. Identifying
3. Recording
4. Communicating
What’s More
Independent Activity 1
1. E
2. D
3. C
4. B
5. A
Assessment
I. Fill in the blanks
1. Quantifying Information
2. Journalizing
3. Accounting as an Information
System
II. True or False
1. True
2. True
3. False
4. False
4. Information System
5. success
6.
7.
8.
9.
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True
True
False
False
Worksheet:
Name: _______________________________ Grade & Section: ___________
Rubrics in Checking Essays: Content = 30%, Understanding/Application = 35%,
Original Thinking = 35%, Structure = 10% and Grammar = 10%.
A. Critical Thinking: The grade computation for this case analysis is 25% for
the computation and 5% for explanation.
I. Case Analysis: Analyze the case and determine if he gain or loss? Show your
computation and explain.
After graduation from high school, Richard Cruz decided to put up
photocopying business because there was none near the vicinity of the school.
Students had to walk far just to go to the nearest photocopying center. Richard knew
that the demand for photocopying service among high school students was high
because teachers often assigned readings and lecture notes that should be
photocopied.
Richard opened his photocopying business on August 1, 2019. He rented a
commercial space located in front of the high school gate for P 5,000 per month. He
also borrowed P 50,000 (without interest) from his father to buy a brand-new
photocopying machine costing P30,000 and to pay for other start-up expenses. He
planned to pay thus P50,000 in four years. From his personal savings, Richard
Spent P10,000 for supplies like bond papers, staplers, paper clips, and other
supplies that would need in his business. He also paid P2,000 for business permits
and licenses. And because Richard had to attend to his classes in a nearby
university, he hired a staff with a weekly salary of P1,000 to operate the business.
Richard planned to visit his photocopying shop after his class every day to check on
it.
II. Collaboration and Communications:
Please answer the following questions briefly. (5 points each)
1. Define what is accounting? How accounting used in our daily activities?
2. In your community give examples of decisions or questions that can be
supported by accounting information.
3. What is the nature of accounting?
4. Give examples where accounting is used as aid in performing the management
functions.
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