Serial No: 72367B Test No: 1 Edition: 1 Student Name: Cosme‚ Felicia Student Number: 10011439164 Question 3: (a) T-account: An informal term for a set of financial records that use double-entry bookkeeping. The term T-account describes the appearance of the bookkeeping entries. (b) Accounting cycle: The name given to the collective process of recording and processing the accounting events of a
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office the less time someone dishonest would to steel money as well. Single entry bookkeeping is a more simple version of double entry. A single entry system is similar to a checkbook register. It is characterized by the fact that there is only a single line entered in the journal for every transaction. Each transaction is recorded in of column and account as either positive or negative. A double entry system is a little more detailed. With double entry two entries are made for each transaction
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a journal. This journal gives details about all the financial transactions of a business and tells which accounts these transactions affect. The transactions are initially recorded in the journal using the double-entry or single-entry method of bookkeeping. Journal entries are typically entered in chronological order and debits get entered before credits. Journal entries are important because they give you a cohesive record of the day-to-day financial transactions. They allow you to follow the money
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is an ancient human activity. From the time when men and women first engaged in trade‚ whether for barter or money‚ it must have been necessary to keep some kind of record of incomings and out-goings‚ to which the origins of the double entry bookkeeping system can be traced. Accounting is as old as money itself. The present form of accounting has passed through various stages of evolution. It has developed to meet the emerging needs and requirements of modern society. Like any other discipline
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to account for every transaction without missing any item. Such a system of maintenance of a set of accounting books to record business transactions is known as book keeping system. ORIGIN OF BOOK KEEPING The practice of record keeping existed ages before the formal recording of history. Barbarians began to keep records by scratching them on rocks. From there crude forms of picture writing‚ the process of rudimentary bookkeeping began. The Italians were the leading bookkeepers and record makers
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http://www.accountingtools.com/basic-accounting-formula 3. Transaction‚ t-account: debits and credits are entries made in account ledgers to record changes in value which is caused by business transactions‚ all of this is done in double entry bookkeeping. http://en.wikipedia.org/wiki/T_accounts 4. General Ledger: This is the main ledger that will have all of the financial accounts of a business; contains the offsetting debits and credit accounts. http://wordnetweb.princeton.edu/perl/webwn?s=general
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branch of Mathematics‚ however‚ you need to be able to add‚ subtract‚ multiply and divide‚ otherwise‚ you would not know how much money you had with you‚ how much you would have spent or whether the change you received was correct. Accounting is a system used by businesses to track financial information. Businesses then analyze and use the information to make business decisions. Accounting uses a double-entry method where accountants record transactions using debits and credits to individual accounts
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CONTROL ACCOUNTS AND ITS USES INTRODUCTION: As the business grows in size‚ more than one ledger is required for recording its transactions which have also expanded with the business. Since the bulk of the entries are made in the accounts of debtors and creditors‚ these two classes of accounts are taken out of the General Ledger and put in separate ledgers - the Sales Ledger for debtors’ accounts and the Purchases Ledger for creditors’ accounts. There may be more than three ledgers but for simplicity
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previously employed in direct computer sales for a national firm specializing in business computers. Thompson knew the importance of adequate records. One of her first decisions‚ therefore‚ was to hire Jarrard‚ a local accountant‚ to set up her bookkeeping system. Jarrard wrote up the store’s preopening financial transactions in journal form to serve as an example (Exhibit 1). Thompson agreed to write up the remainder of the store’s September financial transactions for Jarrard’s later review.
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Master of Business Administration- MBA Semester 1 MB0041 – Financial and Management Accounting Assignment Q1. Accounting is one of the oldest‚ structured management information system. Give the meaning of accounting and book keeping? Explain the objectives of accounting? Accounting Accounting is an information science used to collect‚ classify‚ and manipulate financial data for organizations and individuals. According to the definition given by American Institute of Certified Public Accountants
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