Financial Accounting and Reporting involves the process of recording, summarizing, and presenting financial transactions of a business. This discipline ensures that all financial activities are accurately documented and reported, providing a clear picture of the company's financial health. The primary goal of financial accounting is to produce financial statements, such as the balance sheet, income statement, and cash flow statement. These documents are essential for stakeholders, including investors, creditors, and management, as they help in making informed decisions regarding the company's performance and future prospects.