Introduction to Accountancy
Definition of Accounting: "Accounting is the process of identifying, recording, classifying, reporting, and analyzing financial transactions of a business." Branches of Accounting:
Financial Accounting Management Accounting Cost Accounting
Users of Accounting Information:
Investors Creditors Management Government
Accounting Standards and Concepts
Accounting Standards: "A set of rules and guidelines that companies must follow when preparing their financial statements." Fundamental Accounting Concepts: accountancy class 11 ts grewal
Going Concern Accrual Consistency Materiality Prudence
Accounting Assumptions:
Business Entity Money Measurement Historical Cost Accounting is the process of identifying
Accounting Equation and Double Entry System
Accounting Equation: Assets = Liabilities + Capital Double Entry System: "A system of accounting in which every transaction affects at least two accounts." Types of Accounts: