What do you know about Accounting & Its Rules.

Question

Accepted Answer

Accounting is the process of recording, summarizing, and analyzing financial transactions and activities.

Accounting involves the systematic recording of financial transactions.
It includes the preparation of financial statements such as balance sheets, income statements, and cash flow statements.
Accounting follows certain principles and rules, such as the Generally Accepted Accounting Principles (GAAP) or International Financial Reporting Standards (IFRS).
The basic accounting equation is Assets = Liabilities + Equity.
There are different types of accounts, including assets, liabilities, equity, revenue, and expenses.
Double-entry bookkeeping is a fundamental concept in accounting, where every transaction has equal debits and credits.
Accrual accounting recognizes revenues and expenses when they are earned or incurred, regardless of when the cash is received or paid.
Examples of accounting rules include the matching principle, revenue recognition principle, and the historical cost principle.

Accepted Answer

Basically Accounting is Recording Transaction to identify future profit & Loss, Three golden rules in accounting.

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