Here, all accounts are kept in respect of business entities, which are separate from the owners of the business. By this, we mean that when a person commences a business like shop business, all records in relation to that shop will be kept separate from the person’s own financial records. In the case of companies, …
Accounting principles are sometimes rules and conventions that have been adopted as a general guide to action by the accounting profession. These principles are formed in such a manner that the practical details of accounting may differ greatly from one company to the next. In order to accept these principles and conventions, an accounting principle …
In the olden days, human beings were self-centered and because of that they only cared for themselves. They were not thinking as we do these days regarding wealth and luxurious life. They were only after what they would eat, what they would put on (wear) and where to live (shelter). They engage in farming and …
Book-keeping is defined as the act of recording business transactions in such a manner that the financial position of a business could be ascertained and made readily available at any given period of time. Book-keeping cannot be clearly distinguished from accounting and so the book keeper writes up books and also makes accounting records, whilst …
Accounting is a discipline that is concerned with the recording, analysis and forecasting of income and wealth of business and that of other entities. In a whole, it records in money terms, the flow of economic values between the economic entities and more so, it is applied in two main academic fields. Micro Accounting: This …