Accounting Basics -
The Fundamentals Of Financial Accounting

Running a business is incredibly hard. It takes everything you have. It’s all about figuring out how to use money efficiently and keeping meticulous records of all business transactions.

Had business transactions be based only on cash, life would have been easier. But the fact of the matter is that, if it is business, there has to be credit and the inevitable associated clumsiness and problems.

Keeping records of business transactions is no child’s play. The records maintained must be such that five years down the line one can read and understand what’s what. For this you need to have core knowledge of accounting and to get the knowledge you need to learn some fundamental accounting chapters. How these chapters are co-related to each other.

Accounting records, classifies, summarizes and interprets financial information about the activities of a concern so that intelligent decisions can be made about the concern.

Through these building blocks of accounting process, you'll get an insight of basics of financial accounting.

  1. Journal Entries
  2. Cash Book
  3. Ledger
  4. Trial Balance
  5. Depreciation
  6. Rectification of Errors
  7. Purchases, Sales and Return Journals
  8. Bills of Exchange
  9. Bank Reconciliation Statement
  10. Bad Debts, Provisions, Discounts