What is the main task of Financial Accounting?

The main task of Financial Accounting is to post all financial transactions and fulfill legal reporting requirements. This involves recording all monetary transactions accurately so that the organization's financial status is reflected correctly in its financial statements. Financial Accounting is crucial for compliance with local regulations and accounting standards, as it provides a structured framework for reporting financial performance to stakeholders, including management, investors, and regulatory bodies. Ensuring that all financial data is accurately recorded and reported also helps organizations in making informed business decisions based on financial performance.

On the other hand, creating inventory management reports pertains to operational aspects of inventory rather than the financial transactions themselves. Managing personnel records is a function of Human Resources, focusing on employee data rather than financial activities. Oversight of supply chain logistics relates to the planning and control of supply chain operations, which falls under supply chain management rather than financial accounting responsibilities.