Step Of Accounting Through History And Its Functions Today

Step of accounting through history and its functions today

The human being since it has been amazed by knowing the world, has given rise to more transcendental questions such as man’s man or man around the world. In this sense, it is necessary for human survival to know and understand the reality that surrounds it. In terms, it is especially necessary to specify this reality and work that externalizes accounting, according to Maleconomic relations between different social groups. 

Its role has been, and it will be, to provide reliable, useful and truthful information to internal and external users about the history and financial composition of a particular economic unit, whether it is public or private, with or without profit … ofThere that accounting is defined as a system composed of a set of theoretical postulates that explain the form of valuation, accumulation and organization of information in the economic units, and allows to measure and explain precisely the economic facts and analyze the company asAn economic unit with its own dynamic and a potential for growth and development ”, all this is possible thanks to all the accounting concepts that have been accepted by the accounting scientific community, in order to ensure the multidimensionality of accounting with the purpose with the purposeto represent different realities from the requirements and expectations of the different users. Hence, the Council of Financial Accounting Standards-FASB), is responsible for presenting a conceptual framework which has general conceptions of mandatory compliance to prepare the different financial statements to meet the needs of a small group of group ofUsers: Investors, lenders and other potential creditors.

A problem arises, how to be sure of what is observed is true?. While reality is limited to the senses of man, it can be concluded that a part of reality is not possible to achieve for man, so what is perceived as reality is not a whole, if not a part ofis. This situation outlined, according to Restrepo, C. M. V. “It should be considered that the accounting regulations prescribed by the current issuers of international financial information standards are formulated from the market reality ignoring other facts and phenomena of reality (social, environmental, cultural, among others) that should also beIntervened by accounting ”, which can be demonstrated that accounting standards have a bias, very considerable, with the reality that is boiled by representing, even as I said above, these accounting standards are founded, established and conceived by beings by beingshumans to whom it is impossible to understand the accounting reality as a whole, and in fact the conceptual framework contemplates that the financial statements are based a greater in judgments estimates and models, instead of exact representations.

Therefore, it is necessary to understand that this bias in accounting standards is not greatly due to the inability of the man to perceive reality, but to analyze that the conceptual framework that establishes accounting standards is moved by major interests for the benefit of someusers and thus justify that the decisions that are made from the information prepared by accounting are oriented towards the following:

1. Decide whether to buy or sell investments in heritage. 
2. Evaluate Management Administration or Rendering. 
3. Evaluate the entity’s ability to pay and supply other benefits to its employees. 
4. Evaluate the safety of the amounts provided to the entity. 
5. Determine tax policies. 
6. Determine distributable profits and dividends. 
7. Prepare and use national income statistics. 
8. Regulate the activities of the entities. 

Therefore, due to the great multiplicity of the countries that use IFRS, is there probably that there is coherence in the application of accounting standards knowing how disparate each country and their respective companies? To what extent is the objective of accounting standards if there is disparity in the application of the standards?. In addition, in the case of IFRS, they are aimed at stock market investors, so they are closest to the Anglo -Saxon accounting model, which leads to questioning how is it possible that accounting standards can be effective in different contexts?. 

Returning to the case of Colombia, the little development of scientific structures that are based on the elaboration of accounting theories and concepts has been one of the biggest problems to build conceptual frameworks that concern our particular reality. Unfortunately, it should be added that in the Colombian country it does not have a high degree of confidence in the accounting profession due to the dire results and significance of accounting reports issued by a large number of Colombian companies, in addition, in the words of González, and. M. S., & Bonilla, C. EITHER. R.  "It is a topic the lack of accounting professionals, to the point that professional skills are evaluated by the accountant’s capacity to present information in which taxes are eluded, salaries are reduced and profits are maximized.".