Economy & Business, Volume 10, 2016

Abstract: In order to be made accurate and conformable decisions by directors been active in public sector, financial tables prepared have to contain information that is appropriate to the needs of public sector and both recognized and reported in an accurate and transparent way. Within this context, government accounting comprises of the activities such as the recognition, reporting, and analyzing of financial transactions that belongs to the state sector. The main purpose of the government accounting is to report the required and budgeted incomes and expenses belonging to a single fiscal year for planning and managing of national economy and also reporting assets and liabilities of public sector. Also another purpose is being a guide in the preparation of appropriate budgets by using these reports. Government accounting and its applications are considerably important topics for Turkey. In this study cash basis, modified cash basis, accrual basis, and modified accrual basis of government accounting topics will be examined. Also both historical process of government accounting in Turkey and in the future in terms of government accounting what Turkey will encounter will be mentioned.