FINANCIAL
ACCOUNTING
Unit 1: Introduction to Accounting
Unit 2: Principles of Accounting
Unit 3: Accounting Standards
Unit 4: Accounting Equation and Accounting Cycle
Unit 5: Preparation of Journal, Ledger and Balancing
Unit 6: Subsidiary Books
Unit 7: Trial Balance
Unit 8; Financial Statements
Unit 9: Analysis and Interpretation of Financial Statements
Unit 10: Accounting and Depreciation for Fixed Assets
Unit 11: Bank Reconciliation Statement
Unit 12: Corporate Financial Statements
Unit 13: Computerised Accounting
Unit 14: Introduction to Tally
,Unit 2: Principles of Accounting
CONTENTS
2.1 Generally Accepted Accounting Principles
2.2 Classification of Accounting Principles
2.2.1 Basic Accounting Assumptions
2.2.2 Basic Accounting Principles (Concepts)
2.2.3 The Modifying Accounting Principles (Conventions)
2.3 Capital and Revenue Items
2.3.1 Capital and Revenue Expenditures
2.3.2 Capital and Revenue Receipts
2.1 Generally Accepted Accounting
Principles
, Accounting principles are those rules of actions on the
basis of which the transactions of the
business are recorded, classified and summarized. If the
financial statements are not prepared
on the basis of these principles, there will be low
acceptability and difficulty to understand
them, and the comparison will be impossible and
unreliable. Therefore, the accountants
recommend that there should be common concepts and
conventions of accounting so that the
above difficulties and problems may not occur. These
common concepts and conventions of
accounting have become the basic accounting concepts
and conventions as these are commonly
accepted by the body of the professional accountants all
over the world to prepare the financial
statements, Therefore, they are termed as Generally
Accepted Accounting Principles (GAAP)
Enron & Accounting Issues: Yawning GAAP
The Enron Corp imbroglio holds many lessons for Indian accounting professionals
most of whom are working in a country which fancies itself as a software
sweatshop
and, therefore, have to deal frequently with tricky revenue recognition issues.
In fact, revenue recognition is so tricky that the Financial Accounting Standards
Board
ACCOUNTING
Unit 1: Introduction to Accounting
Unit 2: Principles of Accounting
Unit 3: Accounting Standards
Unit 4: Accounting Equation and Accounting Cycle
Unit 5: Preparation of Journal, Ledger and Balancing
Unit 6: Subsidiary Books
Unit 7: Trial Balance
Unit 8; Financial Statements
Unit 9: Analysis and Interpretation of Financial Statements
Unit 10: Accounting and Depreciation for Fixed Assets
Unit 11: Bank Reconciliation Statement
Unit 12: Corporate Financial Statements
Unit 13: Computerised Accounting
Unit 14: Introduction to Tally
,Unit 2: Principles of Accounting
CONTENTS
2.1 Generally Accepted Accounting Principles
2.2 Classification of Accounting Principles
2.2.1 Basic Accounting Assumptions
2.2.2 Basic Accounting Principles (Concepts)
2.2.3 The Modifying Accounting Principles (Conventions)
2.3 Capital and Revenue Items
2.3.1 Capital and Revenue Expenditures
2.3.2 Capital and Revenue Receipts
2.1 Generally Accepted Accounting
Principles
, Accounting principles are those rules of actions on the
basis of which the transactions of the
business are recorded, classified and summarized. If the
financial statements are not prepared
on the basis of these principles, there will be low
acceptability and difficulty to understand
them, and the comparison will be impossible and
unreliable. Therefore, the accountants
recommend that there should be common concepts and
conventions of accounting so that the
above difficulties and problems may not occur. These
common concepts and conventions of
accounting have become the basic accounting concepts
and conventions as these are commonly
accepted by the body of the professional accountants all
over the world to prepare the financial
statements, Therefore, they are termed as Generally
Accepted Accounting Principles (GAAP)
Enron & Accounting Issues: Yawning GAAP
The Enron Corp imbroglio holds many lessons for Indian accounting professionals
most of whom are working in a country which fancies itself as a software
sweatshop
and, therefore, have to deal frequently with tricky revenue recognition issues.
In fact, revenue recognition is so tricky that the Financial Accounting Standards
Board
