Posts

Introduction to the Accounting

-
Image
ACCOUNTING Accounting  is a process of identifying ,recording, summarizing, and reporting economic information to decision makers in the form of financial statements. Features :- Accounting   helps in decision making by showing where  and when money has been spent , by evaluating performance, and by showing the implications of choosing one plan instead of another. Who Uses the Accounting information ? (i)   Individuals (ii)  Businesses (iii) Investors and creditors (iv) Government regulatory agencies (v)  Non- Profit Organizations (vi) Taxing authorities  How and where they use accounting information? .  Investors, Creditors, Regulators, customer and competitors are the external users.  . Owners, managers and employees are the internal users. Accounting Period An accounting period is a span of time covered by a set of financial statements. This period defines the time range over which business transactions are accumulated into financial stateme
11 comments
Read more

Final Accounts

-
Image
Final Accounts gives an idea about the profitability and financial position of a business to its management,owners and other interested parties.Final accounts are prepared at the end of a fiscal year. It is a combination of following statements- Trading Account Profit and Loss Account Balance Sheet 1. Trading Account   It is prepared to find out the gross profit of the business for the particular accounting period.It is calculated by comparing the net sale with the cost of goods sold (COGS). Gross Profit / Loss =Net Sale - COGS Net Sale= Total sale ( cash sale + credit sale) - Sales returned/ Returned inward Cost of Goods Sold= Opening Stock + Net Purchase + Direct expenses - Closing Stock 2. Profit and Loss Account Profit and loss statement or Income statement is prepared to find out the net profit/ loss of the business for the particular accounting period. It is calculated by comparing the Gross Profit / Loss with indirect income and expenses. Net Profit / Los
6 comments
Read more

Covid 19

-
Image
By:- Priya Shrivasatava
Post a Comment
Read more

Covid 19

-
Image
By:- Akanksha Srivastava
Post a Comment
Read more

GAAP concepts

-
Image
GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND BASIC CONCEPTS  (GAAP) 1. If every accountant used his or her own rules for recording transactions, the financial statements would be useless in making comparisons. 2. Therefore, accountants have agreed to apply a common set of measurements principles (a common language) to record information for financial statements. Otherwise, decision makers could not use or compare financial statements.  GAAP :- The rules that govern accounting are called GAAP.           GAAP Overview  GAAP are the broad framework or the structure which is used to prepare financial statements of the companies. Like JAVA, C++ or HTML are used by software engineers to write computer programme, in the same manner accountants all over the world use a language- GAAP, to prepare financial statements. But there is one huge difference between Computer language and GAAP. Unlike a programmer who uses the same language irrespective of whether he is sitti
12 comments
Read more

ABOUT ME

-
Image
Hey everyone, This is Priya Shrivastava and Akanksha Srivastava. As you all know everyone is suffering from this very hard time, the pandemic Corona Virus. But let's not loose hope "This Shall Too Pass" I hope you all are safe.  Stay home and stay safe.  So, we just thought to utilize this time and thought to make our blog.  Actually we were thinking it since many years but couldn't able to find appropriate time to make this because we both are pursuing PGDM (Post Graduation in Diploma Management) from JK Business School,Gurgaon.  Our blog is also Especially for the students who are very keen of accounting. So by reading this,you can learn basics of accounting. At last we will also give solution for the important question it will definitely help you in your paper. So what we will generally cover in our blog are :- 1. Basics of Accounting 2. Financial Accounting 3. Accounting for 12th 4. Solution for the important question. ( 12th standard) So, Those
Post a Comment
Location: Muzaffarpur, Bihar, India
Read more