CBSE Class 11-commerce Answered

The objectives of accounting are as follows:

1. It maintains a systematic record of all financial transactions in book of accounts.
2. It gives an idea about the net results of the business operation, periodically. The owner of business organisation can ascertain the profit earned or loss incurred during an accounting period.
3. It helps to ascertain the financial position of the business in terms of assets and liabilities at every accounting period.
4. It provides information to the users in the form of reports, statements, graphs and charts.