Accounting measures the results of an organisation's economic activities and conveys this information to a variety of users, including investors, creditors, management, and regulators. Practitioners are known as accountants. Accounting can be divided into several fields including financial accounting and management accounting.
Financial accounting focuses on the reporting of an organization's financial information, including the preparation of financial statements, to the external users of the information, such as investors, regulators and suppliers. Management accounting focuses on the measurement, analysis and reporting of information for internal use by management.
Financial statements are usually audited by accounting firms, and are prepared in accordance with generally accepted accounting principles (GAAP).