STUDY TO ENLIGHTEN YOURSELF
11 Accountancy category on Commerceiets contains the following topics:
Accounting: Meaning, Features, Importance, Advantages, Limitations, Nature, Concepts and Conventions, Accountancy, book-keeping, process of Book-keeping, Process of Accounting, Difference between accounting and book-keeping, difference between accountancy and accounting, accounting standards, Accounting Equation, IFRS.
Journal: Meaning, Features, Format of Journal, Need for Journalising, Benefits of Journal, Limitations of Journal.
Ledger: Meaning and features of Ledger, importance of ledger, benefits of ledger, demerits of ledger, difference between journal and ledger, format of ledger, balancing of accounts.
subsidiary books: cash book, format of cash book, types of cash book, petty cash book, types of petty cash book, advantages of subisdiary books, disadvantages of subsidiary books, bills receivable book, bills payable book, purchase book, sales book, purchase return book, sales return book, journal proper.
Depreciation: meaning of depreciation, features of depreciation, need of depreciation, importance of depreciation acconting, accounting for depreciation, methods of calculating depreciation, straight line method of calculating depreciation, advantages of straight line method, disadvantages of straight line method, dimnidhing balance method, advnatges of dimnishing balance method, disadvantages of dimnishing balance method. suitability of straight line method and written down value method. recording of depreciation in books of accounts.
financial statements without adjustments: what are financial statements, preparation of financial statements, types of financial statements, trading account- meaning, features, format, importance, preparation. profit and loss account or income statement- meaning, nature, format, features, importance, preparation, difference between profit and loss account and trading account, balance sheet or position statement- meaning, features, format, preparation, marshalling of balance sheet, importance, limitations
Difference between capital and revenue receipt Before understanding the Difference between Capital and Revenue Receipt, the concept of capital receipt and revenue receipt must be known: CAPITAL RECEIPT Capital receipt is the amount received by the enterprise which is not revenue in nature and leads to an overall increase in the total capital of the…
Read More “DIFFERENCE BETWEEN CAPITAL AND REVENUE RECEIPT” »
REVENUE RECEIPT Revenue receipt is the amount received by the business as a result of its core business activity. It leads to increase in the overall revenue of the business. These receipts refers to the sale proceeds of merchandise or fees received for services rendered, discount received, commission received, interest received, discount received on shares….
MEANING Capital receipt is the amount received by the enterprise which is not revenue in nature and leads to an overall increase in the total capital or equity of the company. These generate out of the non-operating activities. It means these receipts do not arise out of the normal course of business. FEATURES OF CAPITAL…
DEFERRED REVENUE EXPENDITURE Deferred Revenue Expenditure is the expenditure which is revenue in nature but the benefit of which is likely to be derived over a number of years. The benefit of these expenditures generally last from 3-7 years. That is why the full amount of deferred revenue expenditure is not debited to Profit and…
The golden rules of Accounting are the foundation or base of the accounting which helps in posting the transactions correctly in the books of accounts.
ACCOUNTING EQUATION Accounting Equation signifies that the assets of a business are always equal to the total of capital and liabilities. A business transaction will result in the change in either of the assets, liabilities or capital of the firm and even after the change the assets will be again equal to the total of…
SCOPE OF ACCOUNTING The scope of accounting is wide and extends in business, trade, government, financial institutions, individuals and families and every other avenues. ACCORDING TO RJ BULL The scope is as follows: The above diagram makes it clear that accounting data is prepared and processed by using various methods of accounts. In a later…
ACCOUNTING CONVENTIONS Accounting conventions are the guidelines based upon custom or usage or general agreement. The accounting conventions are used while maintaining the financial statements by the common consent of the accountants. In the adoption of accounting conventions, the personal judgment plays an important role. There is some kind of logic behind the usage of…
ACCOUNTING CONCEPTS Accounting Concepts are the foundation of the accounting. These concepts are the assumptions which are generally accepted and followed while performing the recording of transactions and preparation of final accounts. The accounting concepts help in conveying the financial information in a same meaning to the various users of the accounting. By following the…
MEANING Principles are the general guidelines to action. Principles provide a base for performing some kind of task or action. Accounting Principles are the base as per which the books of accounts are maintained as well as accounting process is performed. ACCORDING TO AICPA “A general law or rule adopted or professed as a guide…
