The accounting profession requires that an accountant systematically identifies, records, measures, classifies, summarises and communicates the financial information of an entity. The financial information appears as the statement of financial positions, cash flow, statements of changes in equity and also the income statement. The accountant has the responsibility of delivering the financial information in a straightforward manner which the users of the financial information can understand. Also, the financial information should be available on a consistent time basis for example on a yearly basis. The users of financial information are the employees, the public, the shareholders and the regulatory bodies the security and exchange commission.
` Further, it is the accountant responsibility to choose an accounting method which will represent the true and fair position of the company financing position, regardless of other objectives that the firm wants to achieve. The accountant is, therefore, allowed to change the methods he uses so long as the ne