Enterprises can set up accounts to meet the needs of users of accounting statements. The information of an enterprise's capital movement can be concreted into the information of six elements: assets, liabilities, owner's equity, income, expenses, and profits. However, if only the accounting information of these six elements is provided, the accounting information cannot meet the needs of the users of accounting statements. Therefore, accounting should adopt a special method to record and reflect the economic business non classically, that is, to set up accounts. In addition, setting up accounts is also conducive to converting enterprise production and operation data into initial information, and classifying, merging, summarizing, sorting and processing the data in order.
The accounting account is set according to the accounting account. It has a certain format and structure, and is used as a carrier to reflect the changes of accounting elements and their results.