Accounting has a very wide reach. Not only it is used in our day to day life and but also used in big corporate workings. It is the most important function for any type of organization. If money is the life blood for an organization then accounting is the heart which purifies that blood.
You need to know the meaning of accounting and its definitions. How accounting is defined world over? and analysis of its definitions.
Then learn the various accounting terms used in accounting. These are the most common accounting term which you should know to go ahead with accounting.
Now you need to know the accounting equation on which whole accounting depends. Keep this accounting equation always in mind. It is the balancing act which auto checks the entries passed.
Now you need to start with accounting basics. It gives you idea of how accounting entries are passed and how they are finally transferred to balance sheet. Here you will also read the golden principle of accounting.
Once you understand the basics of accounting now know what is accounting Cycle. How the accounting in professional way starts and what is the end result of it.
You should also know how you will interpret the end results of accounting. For this there are various methods and tools, but the most used tool is accounting Ratios.
Hope you have understood accounting. You can also comment to ask any query on accounting.
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