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Master of Business Administration- MBA Semester 1
MB0041 – Financial and Management Accounting - 4 Credits
(Book ID: B 1624)
Assignment- 60 marks
Q1. Accounting is one of the oldest, structured management information system. Give the meaning of accounting and book keeping? Explain the objectives of accounting? (Meaning of accounting 2 marks ; Meaning of book keeping 3 marks; objectives ofaccounting 5 marks) 10 marks
Answer.
Accounting- Accounting is defined as "the art of recording, classifying and summarizing in terms of money transactions and events of financial character and interpreting the results thereof."
Accounting is the analysis and interpretation of book-keeping records. It includes not only the maintenance of accounting records but also the preparation of financial and economic information which involves the measurement of transactions and other events relating to the entity.
In simple words we can say that- * Accounting is an art * Of recording, classifying and summarizing * In terms of money * transactions and events of financial nature and * Interpreting the results thereof.
Book keeping- Bookkeeping provides the information from which accounts are prepared but is a distinct process, preliminary to accounting. Bookkeeping is the recording, on a day-today basis of the financial transactions and information pertaining to a business. It is concerned with ensuring that records of those individual financial transactions are accurate, up-to-date and comprehensive. Accuracy is therefore vital to the process. Each transaction, whether it is a question of purchase or sale, or change of loans, has to be recorded in the books.
Double-entry bookkeeping-The double entry system of bookkeeping is based upon the fact that every transaction has two parts and that this will therefore affect two ledger accounts.
Bookkeeping in e-economic-In the e-economic Online Accounting system you can book your sales invoices, customer receipts,
MB0041 – Financial and Management Accounting - 4 Credits
(Book ID: B 1624)
Assignment- 60 marks
Q1. Accounting is one of the oldest, structured management information system. Give the meaning of accounting and book keeping? Explain the objectives of accounting? (Meaning of accounting 2 marks ; Meaning of book keeping 3 marks; objectives ofaccounting 5 marks) 10 marks
Answer.
Accounting- Accounting is defined as "the art of recording, classifying and summarizing in terms of money transactions and events of financial character and interpreting the results thereof."
Accounting is the analysis and interpretation of book-keeping records. It includes not only the maintenance of accounting records but also the preparation of financial and economic information which involves the measurement of transactions and other events relating to the entity.
In simple words we can say that- * Accounting is an art * Of recording, classifying and summarizing * In terms of money * transactions and events of financial nature and * Interpreting the results thereof.
Book keeping- Bookkeeping provides the information from which accounts are prepared but is a distinct process, preliminary to accounting. Bookkeeping is the recording, on a day-today basis of the financial transactions and information pertaining to a business. It is concerned with ensuring that records of those individual financial transactions are accurate, up-to-date and comprehensive. Accuracy is therefore vital to the process. Each transaction, whether it is a question of purchase or sale, or change of loans, has to be recorded in the books.
Double-entry bookkeeping-The double entry system of bookkeeping is based upon the fact that every transaction has two parts and that this will therefore affect two ledger accounts.
Bookkeeping in e-economic-In the e-economic Online Accounting system you can book your sales invoices, customer receipts,