Trading Account: Profit and Loss Account, Balance Sheet
What is trading account? A trading account is a financial statement that shows the revenue, cost of goods sold, and gross profit or loss of a business for a given…
Accounting Bad Debts
What is Accounting Bad Debts? Accounting for bad debts is the process of recording and reporting uncollectible accounts or outstanding receivables on a company's financial statements. It involves estimating the…
Capital And Revenue Expenditure
Capital And Revenue Expenditure Capital expenditure represents an asset or a liability and is reflected in the balance sheet and all revenue expenditures which are incurred to get revenue income…
Financial Management: Definition, Objectives, Functions, Approaches, Decisions, and Importance
Financial Management refers to the application of general management principles to the various financial resources which are projected. This encompasses planning, organizing, directing and controlling financial activities.
Trial Balance: Objectives, Methods of Preparing, Classification of Errors, Limitations
A trial balance is a statement showing the balances, or total of debits and credits, of all the accounts in the ledger with a view to verify the arithmetical accuracy of posting into the ledger accounts.
What is Subsidiary Books? Types, Concept of Cash Book
What is Subsidiary Books? In order to save time, efforts and avoid inconvenience of classifying transactions for posting purposes, similar types of transactions are recorded in special journals called subsidiary…
What is Book keeping? Definition,Objectives, Accounting Mechanics, Terminology, Principles
What is Book keeping? The process of recording financial transactions in the books of accounts is called as bookkeeping. These transactions include sales, purchases, income and payments by an individual…
What is Journal? Functions, Advantages, Types, Process
What is Journal? The process of recording transactions in a journal is called journalising and the entries are called journal entries. As all the transactions are first entered in the…
