Which phrase best defines the key concept of accounting?

The key concept of accounting revolves around tracking and summarizing financial transactions. The phrase "What did you do?" aligns perfectly with this definition because accounting focuses on the recording, classification, and reporting of financial activities. It aims to document and provide an accurate picture of all financial transactions that have occurred within a specific timeframe.

This phrase encompasses the essential function of accounting, which is to maintain a detailed record of what financial actions and transactions were performed, whether it’s income generated, expenses incurred, or assets acquired. The accounting process is fundamentally about answering the question of what has happened financially, ensuring that stakeholders have a clear understanding of the organization's economic activities.

The other phrases, while potentially relevant in different contexts, do not capture the core of accounting. They may address aspects of identity or capabilities rather than focusing on the systematic documentation and evaluation of financial events. This specific focus on transaction history is what makes "What did you do?" the most suitable definition for accounting.