Role of Accounting in Developing Accountability and Values [Notes with PDF]

In this article, we will learn in-depth about the role of accounting in developing accountability and values, and much more.

How Does Accounting Develop Accountability and Values?

Accounting has a crucial role to play in creating accountability and values. Accounting plays a vital role in creating accountability and values in a variety of ways.

Before discussing the role of accounting in creating accountability and values, we know a little bit about accountability and values.


Accountability is the responsibility of others for their own work. For example, employees of a business organization are responsible to the owner of the organization for the accountability of their work.


Values are the attitudes of a human being, which are gradually formed in the mind and expressed in his daily conduct, action and thought, in which accounting plays an important role in creation.

Role of Accounting in Creating Accountability

The following are the ways in which accounting creates accountability

1. Accounting creates accountability within the organization by creating accountability. Depending on the nature of the business, modern accounting divides its activities into different sections, such as the revenue center, cost center, investment center, and the responsible officers of each of these centers are responsible for the accountability of their senior officers. Accounting, therefore, creates responsibility and ensures accountability.

2. Accounting also creates accountability through the preparation of financial statements. The officials and staff of the organization shall prepare the financial statements for the disclosure of information to the various parties, and the accountants and managers of the organizations involved in this work shall be responsible for the accountability.

3. The organization is responsible to the government for all its activities. That is, the business organization is responsible to the government whether the organization operates in accordance with the rules of the policy and the payment of regular taxes, tariffs, VAT and this accountability can be ensured by maintaining accurate accounts.

Role of Accounting in Creating Values

The following are the ways in which accounting creates values:

1. Accounting creates values through the formation of moral character.

2. Accounting creates values by keeping accounts in honest and credible ways.

3. Accounting raises awareness of debt repayment and creates value.

4. In all religions, it is said that carrying out activities in a truthful and honest manner helps people to create these religious values.

5. Many unscrupulous business organizations create anarchy in the market by creating an artificial commodity crisis, but accounting prevents this artificial commodity crisis by creating these values in people and organizations.

6. Accounting helps create the value of being economical.

7. Accounting creates values related to the payment of tax to the institution and personal.

8. Accounting creates necessary values to prevent fraud in the organization.

9. Accounting creates values in the organization for overcoming the greed of high profit.

10. Accounting creates the value of carrying out activities while maintaining the necessary and pleasant environment within the organization.

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