Some of the notable features of accounting can be highlighted as follows:
1. Both Science And Art
It is a science because it is practiced and maintained on the basis of fixed principles. Accounting is an art because it requires specific knowledge practical work.
2. A Process
It is a process of recording business transactions (transactions of financial nature), classifying and summarizing them in a chronological and systematic manner and to interpret the financial information.
3. Deals With Monetary Terms
Accounting deals with financial items ( can be expressed in monetary terms) only. Non financial transactions are completely ignored.
4. Information System
It is an information system that gathers financial data, summarizes them and provides financial information to the management and other users.
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5. Reliability
Accounting is a reliable method of recording and interpreting financial results of the business because it is based on fixed principles and requires specific knowledge to maintain proper accounting system in the organization.
6. Comparability
Financial results of current period can be easily compared with the results of previous period.
