Tag Archives: Financial-Accounting

Financial Accounting is an important Branch of Accountancy. Financial Accounting is concerned with recording of business transactions and preparation of statements for the purpose of ascertaining profit or loss of the concern and preparation of balance sheet to know the financial position of the organisation. You can find your desired information from the followings. For Beginners: Chapter No. 1: Introduction …

Single Entry System | Accounts From Incomplete Records In this lecture, you will learn about an Accounting System where Dual Aspect Concept not followed by the book keepers. After taking this lecture, you will be able to understand, What is Single Entry System or Accounts from incomplete records, How to determine Profit or Loss of the business,etc. Now watch this …

ACCOUNTING RATIOS GENERAL PROFITABILITY 1.      Gross Profit Ratio =           Gross Profit    × 100                                                        Net Sales   2. Net Profit Ratio =  Net Profit    × 100                                                  Net Sales         3. Expenses Ratio =      Particular Expense    × 100                                                         Net Sales 4. Operating profit Ratio =           Net Operating profit    × 100                                                                          Net Sales         [Operating Profit …

 Need and Importance of Accounting In this lecture, you will learn about the Need and Importance of Accounting. After taking this lecture, you will be able to understand, why Accounting is necessary and why Investors, managers and other stake-holders want to know about financial information and how Accounting help them. Now watch this lecture and share your views in comment.

FINANCIAL ACCOUNTING –  COURSE OVERVIEW

HOW A BILL OF EXCHANGE WORKS?       How a bill of exchange operates, is illustrated in Figure 1 and Figure 2, but first we should read the following points. (1) A person, who wants to purchase goods but has no money, may agree to accept a bill of exchange drawn upon him at some future date for the value …

Definition of Accounting Many authors have defined the term “Accounting” in different ways. There is difference of opinion among the authors as to its precise definition as the term accounting is so broad that it is difficult to give a precise definition. However, several possible definitions are given below: 1. “The act of collecting,   processing, reporting, analyzing, interpreting   and projecting   financial information”. 2.“The system …

ACCOUNTING: A BUSINESS LANGUAGE Accounting is a language, a system that communicates information.  It is often referred to as the language of the business, although it is just as important in the operation of government agencies, clubs, colleges and other kinds of organizations. You probably have some idea already of what the term accounting means. It is frequently used in   …

WHAT IS THE NEED AND IMPORTANCE OF ACCOUNTING? We live in a world where people need things from the day they are born to the day that they die. Some of these ‘needs’ are physical needs, a need for goods of various sorts, food, clothing, shelter, and so on. Some of them are emotional ‘wants’, a need for education, entertainment, …

Accounting For Bills of Exchange Learning Objectives: Learn Definition  and explanation bills of exchange. What are advantages of Bills of Exchange (B/E)? What is difference between Bills of Exchange and promissory note? How a bill of exchange functions? What are the accounting treatments of drawing, accepting, discounting, paying, dishonoring, Retiring  a bill. Now-a-days,  business transactions are usually conducted on credit …