Verified Document

Government And Private Sector Accounting Discussion Chapter

The public sector deals with those that mainly involve expense, whilst the private sector deals with tangible property such as machinery, factory buildings, and large computer systems. 3. The public sector account analysis reports public accounts (i.e. those applicable to the nation and its people as a whole), whilst the private sector, obviously reports accounts that are congruent, relevant, and applicable just to its own peculiar concerns.

4. The public sector account deals with fixed assets not depreciation, whilst the private sector account deals with fixed assets and depreciation included. In other words, the private sector -- working on matters of gaining profit -- also takes into account the gradual and possible permanent decrease of value in the stock. The public sector, on the other hand, does not concern itself with this matter.

In short, the exercise of accountability and the purposes of government accounting cause the accounting and the financial systems of the public and private...

To safeguard the public treasury; 2. To facilitate sound financial management, and 3. To help the government discharge its accountability and responsibility. In all of these factors, there must be, and is existent, a system of powers and checks and balances between all the different divisions of the government (i.e. between the executive, legislative, and judicial branches).
The private sector, on the other hand, has none of these responsibilities or checks and is responsible and accountable purely to itself. It is for these reasons that differences in accounting and finance are so acute between the government and private sector.

References

Barton, A. (1999). Public and Private Sector Accounting: The Non-identical Twins Australian Accounting Review, 9, 22-31

Chan, J.L. (2003). Government Accounting: An Assessment of Theory, Purposes and Standards, Public Money & Management, 1-9

Sources used in this document:
References

Barton, A. (1999). Public and Private Sector Accounting: The Non-identical Twins Australian Accounting Review, 9, 22-31

Chan, J.L. (2003). Government Accounting: An Assessment of Theory, Purposes and Standards, Public Money & Management, 1-9
Cite this Document:
Copy Bibliography Citation

Related Documents

Governmental and Private Sector Accounting in the Healthcare Field...
Words: 951 Length: 3 Document Type: Research Paper

2010, October 12 Governmental and Private Sector Accounting in the Healthcare Field Governmental and Private Sector Accounting in the Healthcare Field: Reducing Costs to Make Healthcare More Affordable Healthcare costs have risen astronomically over the past two decades and this has resulted in the role of accounting in the health care industry undergoing change. It is reported that the "escalation in medical costs has been the number one issue in health care

International Accounting and Auditing Standards
Words: 1877 Length: 6 Document Type: Research Paper

Accounting International Accounting and Auditing Standards International public sector accounting standards (IPSAS) are developed and put forth by the International Public Sector Accounting Standards Board of the International Federation of Accountants (IFAC). International private sector accounting standards are known as International Financial Reporting Standards (IFRS). They are put together and put forth by the International Accounting Standards Board (IASB), a self-governing standard generating body of the International Accounting Standards Committee Foundation. The

Accounting Career Choice Accounting Has Become One
Words: 1083 Length: 4 Document Type: Term Paper

Accounting Career Choice Accounting has become one of the most popular degree choices in recent years because it can lead to a great deal of careers that can be much more exciting than they may initially sound. The problem for the student who chooses to follow a desire to get into accounting may be that they realize after they have taken a few classes that they will have to choose between

Government Outsourcing the Outsourcing of
Words: 10988 Length: 35 Document Type: Term Paper

A micro considers the interests and rights of the individual company as the primary concern. Both of these views are valid depending on the lens that one wishes to use. The problem arises when the government is forced to develop policies regarding procurement in this volatile debate. The government must decide whether to take a micro view, favoring the rights of companies, or a macro view that places the

Accounting - Ethics Personal and
Words: 779 Length: 3 Document Type: Term Paper

The purpose of requiring the application of professional standards rather than personal ethical values in professional accounting and auditing is precisely, to ensure that all entities are regulated and evaluated impartially and without regard to any subjective beliefs or philosophical perspectives of the individual rendering professional accounting services or conducting audits. Whereas the AICPA Code of Responsibility actually incorporates the word objectivity (in addition to the word independence), the GAS

Private Finance the Private Financing Initiatives When
Words: 2393 Length: 8 Document Type: Essay

Private Finance The private financing initiatives When the Private Finance Initiative was launched in 1992, it was seen as a mechanism to achieve extra public-sector investment by bringing in private finance for capital projects as well as a means to improve the public procurement process that was routinely criticized for poor project management and construction cost overruns. PFIs cut across a range of public services, including hospitals, prisons, public transport, roads, and

Sign Up for Unlimited Study Help

Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.

Get Started Now