Tag: ACCOUNTING

DIFFERENCE BETWEEN COST ACCOUNTING AND FINANCIAL ACCOUNTING

November 22, 2019 commerceiets No Comments

DIFFERENCE BETWEEN COST ACCOUNTING AND FINANCIAL ACCOUNTING The difference between cost accounting and financial accounting is as follows: COST ACCOUNTING Cost Accounting is an art or process of recording, analyzing and classifying of expenditure for the purpose of product costing or service costing, ascertainment of profitability, operational planning and cost control. It is a forward…

COST ACCOUNTING, FINANCIAL ACCOUNTING, KEY DIFFERENCES

COST ACCOUNTING

November 21, 2019 commerceiets No Comments

COST ACCOUNTING Cost Accounting is an art or process of recording, analyzing and classifying of expenditure for the purpose of product costing or service costing, ascertainment of profitability, operational planning and cost control. It is a forward looking approach which is related to the recording, analyzing and classifying of expenditure with the objective of ascertaining…

USERS OF ACCOUNTING

November 17, 2019 commerceiets No Comments

USERS OF ACCOUNTING Accounting provides the information to the users of the business. Various users are interested to know about the financial position of the business, which they get from the accounting records kept by the business and provided to them by way of publishing final accounts. The users of accounting are as follows: INTERNAL…

IFRS

August 5, 2019 commerceiets No Comments

IFRS IFRS stands for International Financial reporting Standards. These are the standards issued by the International Accounting Standard Board. It also covers the wide range of International Accounting Standards issued by the International Accounting Standard Committee. IFRS has replaced the GAAP (Generally Accepted Accounting Principles). These standards are to be used by the business organisations…

ACCOUNTING STANDARDS

August 1, 2019 commerceiets No Comments

ACCOUNTING STANDARDS Accounting standards may be defined as written statements, issued from time to time by institutions of accounting professionals, specifying uniform rules or practices for drawing the financial statements. ACCORDING TO KOHLER “Accounting standards are code of conduct imposed on accountants by custom, law or professional body.” Accounting standards mainly deal with four major…

GOLDEN RULES OF ACCOUNTING

July 30, 2019 commerceiets No Comments

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.

11 ACCOUNTANCY, FINANCIAL ACCOUNTING

ACCOUNTING EQUATION

July 29, 2019 commerceiets No Comments

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

July 28, 2019 commerceiets No Comments

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

July 26, 2019 commerceiets 1 Comment

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…

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11 ACCOUNTANCY, FINANCIAL ACCOUNTING

ACCOUNTING CONCEPTS

July 24, 2019 commerceiets 3 Comments

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…