Accounting, as a discipline, is accepted as the information system and the language of business with the objective of providing details and communicating useful information about an organization. Today, understanding this information system and this language has become more important than it was earlier. This will make accounting more purposeful and more reliable as a discipline-as a branch of knowledge.
In accounting, the discussion and the subject of financial accounting comes first because the structure of financial accounting underlies and guides, to some extent, all accounting. Financial Accounting uses some basic concepts and principles, describes a set of relationships among the different elements of the accounting system and the financial statements and a set of rules and guidelines for applying concepts and principles to specific business situations. There is a need to understand financial accounting to understand a business and its activities. To achieve such an understanding, we need a text which can discuss the subject in a clear, accurate and logical manner and which is easy to use by both the teachers and students. The present text has been written with the primary objective of providing a comprehensive, useful flexible and well presented text to serve the complete needs of Commerce students of Four Year Degree Course in University of Delhi.
ORGANIZATION OF THE TOPICS
The text is divided into five parts.
Part I provides an overview of financial accounting and discusses Financial Accounting: Nature and Scope; Basic Accounting Concepts and Financial Statements; Accounting Standards.
Part II titled ‘Recording of Transactions and Preparation of Final Accounts’ deals with the Accounting Framework and Transaction Analysis. Accounting Process : Journalization, Cash Book and Subsidiary Books, Ledger Posting and Trial Balance, Preparation of Final Accounts of Non-Corporate Business Entitles.
Part III titled as ‘Income Measurement’ discusses some accounting topics relating to measurement of income such as Business Income, Revenue Recognitions, Depreciation Accounting and Inventory Valuation.
Part IV focuses on financial accounting system followed by some organizations. This part, covers Consignment Accounts; Joint Venture; Accounting for Hire Purchase; Branch Accounting; Dissolution of Partnership Firm.
Part V titled as ‘Auditing’ is devoted to discussing some important topics in auditing such as Auditing : Meaning and Objectives; Vouching; Verification of Assets and Liabilities.
Free Booklet of Solutions Manual On Financial Accounting and Practical Problems on Financial Accounting with the Book.
Contents :
Part I – An Overview of Financial Accounting
1. Financial Accounting : Nature and Scope
2. Basic Accounting Concepts and Financial Statements
3. Accounting Standards
Part II – Recording Of Transactions And Preparation Of Final Accounts
4. The Accounting Framework and Transaction Analysis
5. Accounting Process-I : Journalization
6. Accounting Process-I(Contd.) : Cash Book and Subsidiary Books
7. Accounting Process-II : Ledger Posting and Trial Balance
8. Accounting Process-III : Completion of the Accounting Cycle : Preparation Of Final Accounts of NON-Corporate Business Entities
Part III – Income Measurement
9. Business Income
10. Revenue Recognition
11. Depreciation Accounting
12. Inventory Valuation
Part IV – Financial Accounting Systems
13. Consignment Account
14. Joint Venture
15. Accounting For Hire Purchase
16. Branch Accounting
17. Dissolution Of Partnership Firm
Part V – Auditing
18. Auditing : Meaning and Objectives
19. Vouching
20. Verification Of Assets and Liabilities
