Accounting and Finance Questions

3 way matching is to compare three documents i.e., 

1. Purchase order

2. Receipt of Items/Packing slip 

3. Invoice. 

For example, if we Order for 50 Items in purchase order and received 40 Items only instead of 50 items. But we received invoice for 50 items. After comparing the three documents we pay for only 40 Items..

Supplier should follow the check list.

1. He should create confidence in the client mind
2. Services to be done (fulfilled in time)
3. Services to be done according the specification of the client
4. He should be placed the another order by doing the above three steps

Stock investment may pay the dividends.

The amount of dividend will be depended on how many stocks you own and how much is that's company net income in that year

For example :

If you own 15 % of the company, and the company announced that they will pay Rs. 1,00,000 as dividend this year, you will get dividend payment of Rs. 15,000.

Variance Report is to know what is the difference between last month salary and the current month salary you can also check in that report all input which you have considered its captured or not

Sarbanes Oxley Act. Otherwise known as Public companies Accounting reforms and investor protection Act. It was enacted in 2002 in USA after lot of scams come up on accounting framework whereby investors lose faith and confidence on accounting disclosures.

Accounting is the systematic and comprehensive recording of financial transactions pertaining to a business. 

Accounting also refers to the process of summarizing, analyzing and reporting these transactions to oversight agencies, regulators and tax collection entities.