Impacts of Islamic Accounting System on Society: Accounting System in the ERA of Hazrat Abu Bakar and Hazrat Umar Farooq

Abstract

During the time of Hazrat Abu Bakr and Hazrat Umar Farooq, the Islamic accounting system had a considerable impact on society. This system is founded on the values of transparency, responsibility, and moral behaviour, which support justice, fairness, and social welfare. In the era of Hazrat Abu Bakr and Hazrat Umar Farooq, the Islamic accounting system was crucial in preserving the social order's economic stability.The system made sure that financial transactions were carried out accurately, honestly, and reliably, which contributed to a rise in public confidence. As a result, a society that was richer and more stable allowed both businesses and people to prosper. The Islamic accounting system's emphasis on responsibility was one of its most notable effects. The Islamic accounting system's emphasis on social welfare had a significant impact as well. This made society more just and egalitarian as everyone had access to basic needs. To sum up, the Islamic accounting system has had a significant influence on society, especially during the time of Hazrat Abu Bakr and Hazrat Umar Farooq.