Accounting Basic Concepts | Manual Accounting & Book Keeping:
unconsciously all human beings have resorted to the practice known as Buck Kenging Pray Book Keeping is meant for businessmen for making written records In every sphere of life, man n deliberate attempt to succeed Block Keeping & Accounting attracted the attention of people also helps know the status of activities Accounting enables the person to know the result of his activities and to appropriate steps. Therefore Book Keeping & Accounting is not only useful to Businessmen or soo but is useful and necessary in every walk of life.
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Definition:
Bookkeeping is defined as an art. Or Science? Recording financial transaction in proper books of
Accounts:
According to Spicer & Paglere, “Book keeping is an Art & Science of systematically recording all business dealings in a manner enabling the financial relationship of a business with other people to clearly disclose the cumulative effect of the transactions of the financial position of the business itself be correctly ascertained
RN Carter defines Book Keeping is the science and art of correctly recording in the books of accounts all those business transactions that result in the transfer of money or money’s worth
A Book Keeper normally performs the following jobs
- Recording the daily transactions in the books of original entry
- Posting the entries in the ledger
- Taking the total of different accounts in the ledger.
- Balancing the Ledgers
Who is a book keeper? How is he different from an accountant? What is meant by an account?
Meaning of Accountancy:
Accounting is the Art of presenting the data of transactions recorded by the Bookkeeper for a particular period o as to make it more meaningful and easy to understand. Accountancy as such is a skilled job for giving the finishing touch to raw data supplied by the Bookkeeper. An accountant complies with all the data prepared by the Bookkeeper and gives the transaction a final name and shape. Bookkeeping and Accountancy, therefore, involves the recording of transactions with reference to a business and analyzing and classifying these records after a certain period to obtain valuable information
Accounting involves the following five major activities:
- Recording of a transaction;
- Classifying the transaction
- Summarizing of the transaction, 4 Interpreting Financial Events, and
- Information to facilitate decision-making
See Also: ENGLISH Useful Study Material SSC-HSC
Web Title: accounting basic concepts, Manual Accounting & Bookkeeping
