What is the accounting fund doing?

The position of the accounting fund is traditionally found in the non -profit organization or branch of the government, whose purpose is devoted to fiscal responsibility. In this role, the individual separates income in categories or funds to identify both the source and the resources. As a result, the Accounting Fund is responsible for proving good management procedures, determining the financial situation, planning and budget of the organization, monitoring of cash flows and communicating with key stakeholders. The General Fund includes operating expenditures such as employees' wages, office supplies and maintenance expenses; In contrast, special funds are limited to be used only to finance activities specifically determined by the provider or fund donor as approved expenses. In Essenuce, the fund accounting allows organizations to monitor expenditure activities to ensure that limited funds are properly assigned. Although it is important for the organization to properly assign their money from a business point of view, it is also important to pRy people who provide the organization funds. People who give money, whether for charity, company or other organization, want to know that the organization uses money efficiently.

The Accounting Fund is responsible for proving liability and administration by assessing whether the organization has used the funds properly and documented them properly. The Accounting Fund also determines the company's financial situation by identifying available sources, their value and any financial impact that the organization can experience if replaced or removed. The group of accounting funds and liabilities according to the specific purpose to be used to ensure limited and unlimited means remain separate.

traditional profit -aiming businesses focus on profitability and have one main book. On the other hand, the accounting funds maintain more than one book, depending on the donor and the expenditure activities. For example, there may be a general account usedFor unlimited resources and account of the Building Fund used to monitor money available for construction.

budgeting is also a key responsibility, because accounting funds must determine how funds are allocated and what sources are required for a particular project. In addition, the Accounting Fund is responsible for evaluating the fiscal performance of the organization compared to the proposed goals to guarantee operational efficiency. This position evaluates the fund's activity to monitor expenditure and plan unforeseen events. Finally, the effective accounting fund briefly communicates the financial information necessary for the creators of the decision in a clear, reliable way.