Accounting is only relevant to profit-oriented organisations. Question 1 Answer True False

The statement "Accounting is only relevant to profit-oriented organisations" is False.

Explanation:

1. Nature of Accounting: Accounting provides crucial information about the financial health and performance of any organization, whether it is profit-oriented or not. Non-profit organizations, government entities, and NGOs need accounting to track their resources, manage budgets, and report to stakeholders.

2. Decision Making: Even non-profit organizations use accounting to make informed decisions about funding, allocations, and expenses. Effective accounting helps these organizations measure their effectiveness in fulfilling their missions.

3. Accountability and Transparency: For all types of organizations, including non-profits, accounting enhances accountability and transparency, vital for trust and sustainability.

4. Regulatory Requirements: Many non-profit organizations are required by law to maintain accurate financial records and report financial performance.

In conclusion, accounting is essential for all types of organizations, making the statement false.