what is the basic function of financial accounting
Financial accounting Financial accounting (or financial accountancy) is the field of accounting concerned with the summary, analysis and reporting of financial transactions pertaining to a business.[1] This involves the preparation of financial statements available for public consumption. Stockholders, suppliers, banks, employees, government agencies, business owners, and other stakeholders are examples of people interested in receiving such information for decision making purposes.
Earnings before interest and taxes In accounting and finance, earnings before interest and taxes (EBIT), is a measure of a firm's profit that includes all expenses except interest and income tax expenses.[1] It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, operating income is sometimes used as a synonym for EBIT and operating profit.[2]