Question

Accounting is an art of recording, ________ and ______ in terms of money, transactions and events of a financial character and interpreting the result thereof.

• A. Classifying, Summarizing
• B. Tabulating, Classifying
• C. Highlighting, Formulating
• D. Formulating, Tabulating

Answer 1

Answer: (A)

Classifying, Summarizing

In 1941, The American institute of Certified Public Accounts (AICPA) had defined accounting as the art of recording, classifying and summarizing significantly and in terms of, money, transactions and events which are, in part at least, of financial character, and interpreting the results thereof.