1Bookeeping
it is defined as art or recording business transactions action in a particular mannar
2Accounting
it is defined as the recording, measuring, analysing and interpreting of business transactions
3Business Transaction
it is any activity involving the firm where values are exchanged.
4A Firm
it is an organization of economic resources that is used to provide goods and services for profit
5Accounting Information
Internal- Owners/ Managers, Employees, Supervisors. External- Costumers, Government, Social Group, Suppliers
6Accounting Concept
Entity Concept- state that the firm is a separate entity from the owners.
7What is an Account
An account is the place where a particular business transaction is recorded
8 Accounting Equation
A=C+L C=A-L L=A-C
9Balance Sheet
The accounting is shown in a statement called the balance sheet
10Classified Balance Sheet
it is a financial statement that reports assets, liability, capital in meaningful subcategories
11Working Capital
Current Assets minus Current Liabilities= Working Capital
12Accounting Cycle
Journal entries ~ Ledgers Accounts~ Unadjusted Trial Balance ~ Adjust Entries ~ Financial Statement ~ Closing bookset Account. The Accounting Cycle shows the Period in which a business operates in its financial year