Important and Confusing?

by Cera Nicole Storer

Q: Why is this stuff so important and why is it so confusing???

Hi Cera, you are not the first and probably will not be the last person to find accounting confusing.

In my experience the reason the subject can seem confusing is because it is not so well understood. Sometimes it's not taught so well. That's why I put together this site, which starts with all the basic accounting concepts, including the absolutely crucial concept of the basic accounting equation, and then continues to explain the basic accounting principles and procedures step by step.

I can tell you that if you want the subject to be less confusing just use this site and work your way through the lessons starting with the accounting equation.

Why is accounting important?

Mainly because it is the international language of business.

And it is the records of a business.

It is the way companies communicate how well or not so well they are performing. It is the numbers investors look at when deciding whether to support a business using their money.

Even knowing just a basic knowledge of accounting can put you leap years ahead of others in the business world. It certainly makes you far more of an asset to any business.

investment business deal

Of course, if you want to practice as an accountant or bookkeeper and be responsible for a company's records then you simply have to know accounting - and know it well.

That's why accounting is so important.

Hope my answer helps motivate you in studying this subject!

All the best,

Michael Celender
Founder of

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Comments for Accounting:
Important and Confusing?

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Important and Confusing
by: Mia

Accounting is important because it will basically be the basis of math and organizing records that will successfully allow you to understand even harder financing and business goals. Without accounting you might be lost. It is also important in your every day life if you can manage a business account then you probably are more likely to manage and balance your own personal finances a lot better, and who wouldn't want to have that skill? Right yeah I do!

It is confusing because we usually dont want to take out the time to pay attention to details. In a world that we live in now, where we want everything to happen very quickly, even I have a hard time at slowing down to make sure I understand where everything is going. If you stop skimming and actually look at everything as important, it will be less confusing and everything will come together. This is a slow and steady skill not a quick intelligent one. Actually you don't even need to be super intelligent to understand accounting. You just have to take it steady and formulate or analyze reports with the information you obtained. Kind of like reading a book and creating a recap.

by: John

It is deligthful to read this post and i get many useful point through this post. Please keep posting such kind of post.

Important & confusing
by: kathie

@Cera Nicole. Well then you're not alone. I am working as an accountant and that question comes up from time to time. It's important as a future accountant because it provides you with a picture as to how your business, company is making a profit or not... It is confusing because of the nature of your company or organisation... The bottom line is how you understand accounting especially the simple accounting equation which we tend to forget which is always the most important tool of all.

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