Common Accounting Terms

Common Accounting Terms

Every industry has its own language. Knowing the words used in the industry will help you better comprehend the responsibilities of an accountant and improve service delivery. This article defines the standard accounting terms you may see in many fields.

Audit Trail

Audit Trail

An audit trail is a thorough, chronological record by tracking accounting data, project details, or other financial data. An audit trail is often a requirement of regulation for a thorough and organized accounting department. Even when it is not mandated, it will be a business best practice.

Role Access

Role Access

Role Access is a mechanism that restricts access to the system, also known as Role-Based Protection. It requires the setting of rights to permits and privileges for authorized users to access. Most big organizations use roles-based access control to provide different access levels for their employees based on their roles and responsibilities. 

Approval Management

Approval Management

The handling of approvals by e-mails, tabs, paper, or other old-school methods can be challenging. However, many companies still use these methods to obtain approvals. Approval management is intended to replace these tired manual approval processes with workflow automation (AME).