Theoretically, disciplines have individual functions and distinction. Disciplines such as teaching, reading accounting, and the likes. However, it is imperative to note that there exist a uniformity and an element of interdependence among these professions and they possess certain economical interrelationship.
With a widen horizon but scope limited to the field of accounting and entrepreneurship, a considerable amount of functional relationship is perceived. Rhetorical curiosity then pops up the wonderment of how possibly interrelated the two distinctive discipline could be, therefore, it's significant to establish a succinct individual discussion for the disciplines.
Keeping historical, current or futuristic records of transaction between business organizations and individuals or groups of each for specific decision making objectives is said to be the area where an accountant majors.
Nonetheless, accounting is a wide scope covering financial accounting, management accounting,cost accounting, auditing, taxation, and few more conceptual microcosm each of which possess distinctive functions in related field.
A financial accountants mainly provide historical records of financial transactions between entities i.e transactions in monetary terms, a cost accountant focuses on ascertaining and minimizing cost of product produced or purchased, and auditor scrutinizes already made records of transaction to establish its true and fair value and to verify reliability and accuracy. Knowing this, it is established with neither an mystificatiom nor obfuscation that accounting deals with keep a classified, analyzed and summarized financial information which aids decision making.
The ability to think out of the box ( objectivity) is one of a few many distinctive features of an entrepreneur. In accordance with Joseph schumpter's perception of an entrepreneur, innovativeness- doing existing things in a newly fashion way is an integral part of an entrepreneurial trait. An entrepreneur is self-reliant and selfi-established. An entrepreneur bears risk, an entrepreneur says 'yes' when others say 'no', an entrepreneur's drug is success, an entrepreneur leads and manages all other factors of production and creativity as an element of entrepreneurial spirit cannot be underestimated.
The two concepts seemingly have some similarities as they both deal with material things. There's always a portion of entrepreneurial trait in an accountant and a portion of financial management in an entrepreneur.
How then can an accountant exhibit or explore an entrepreneurial trait?
One of the key irreplaceable characteristics of an entrepreneur which an accountant explores is CREATIVITY; ability to pave way where there seems to be none, the ability to provide solution to material things that might seem impossibly difficult, the ability to make things that seems unreasonable look imaginatively feasible.
An accountant can employ this characteristic and channel it to its best use. A cost accountant to a wholesaling firm who is willing to minimize cost of purchase materials should be able to think and explore the entrepreneurial intuition of creativity to know which method of costing is best applied. He must be able to brainstorm and decided where best to make purchase orders and he decide at what cost and what benefit will it be accrued to channel part of the business cost to production of the material needed and converting it to desirable form that is usable to the organization.
A financial accountant too needs to be creative in dealing what best capital method should be applied, is it debt or hybrid and at what cost. The creativity function is an important characteristics of an entrepreneur that is always employed by an accountant.
How about talking about innovativeness? Innovativeness isn't an easily defined concept especially when it comes to accounting because it works on record provided on non-human. Nonetheless, innovativeness of an accountant isn't limited to human beings, it does can be related to material things and operations too.
An entrepreneur's speed is innovation as majority of entrepreneurs measure their success by amount of things innovated. It is with no doubt that accounting follows some established rules and underlining assumptions but still, tendency to innovate and do things in a different way is still increasingly high.
Let's dwell a bit into some operational functions of accounting. Then, we have some primitive recording system in accounting, but things turned around with the introduction of information technology into the practice accounting. Stock recording and control can now be computerized, cash book can now be computerized aven payroll system is easily done one the like be that......
To an auditor coming with the aim of scrutinizing the truthfulness and reliability of the cost information. Electronic platform where this can be done electronically can be created and will ease the Cumbersome methods of material and stock valuation, employee's remuneration and payroll accounting and cash intake and outflow records.
It's therefore significant to know that entrepreneurship plays a certain economical role in the practice of accounting.
Softwares of accounting package like "Sage50" and electronic platforms which would with ease the practice of different branches of accounting could be created by an accountant in specialized aspect of the macrocosm.
In conclusion, we might observe that it is not only ENTREPRENEURSHIP n ACCOUNTING that's particular but ACCOUNTING in ENTREPRENEURSHIP.
this could make the practice of accounting as a profession easier through the employment of entrepreneurial trait. It's therefore significant to know that entrepreneurship plays a certain economical role in the practice of accounting as the two fields shares an interrelated features
