INTRODUCTION TO ACCOUNTING

About this Course

This course is proposed to provide an essential understanding of basic accounting concepts, principles and techniques of double entry system, procedures in preparing final accounts of a sole trader for merchandising and service enterprise. This course aspires to provide students with the basic book keeping knowledge of the total recording process until the preparation of final accounts before adjustment.

Course Learning Outcomes

1) Express knowledge on the basic accounting information.
2) Identify the effects of business transactions on the accounting equation.
3) Identify the various types of documents in the recording process.
4) Prepare pre-adjusted financial statements.

Course Syllabus

+ Course Syllabus

1) Introduction to Accounting
- Definition of accounting
- Users of accounting information
- Types of business organization
- Accounting concepts and accountability
- Accounting information system

2) Accounting Equation and Accounting Classification
- Elements of financial statements
- Accounting equation (basic and expanded)
- Effects of business transactions on the accounting equation
- Double entry rules

3) The Recording Process
- Accounting cycle
- Source documents
- Types of journal
- Preparation of general journal
- Types of ledger

4) Trial Balance and Financial Statements (pre-adjustment)
- Objectives and components of financial statements
- Qualitative characteristics of financial statements
- Preparation of Trial Balance
- Preparation of Statement of Profit or Loss
- Preparation of Statement of Financial Position

Frequently Asked Questions

Q1 : What is Accounting?
A1 : Accounting is the process of recording financial transactions pertaining to a business. The accounting process includes summarizing, analyzing and reporting.

Q2 : What is Bookkeeping?
A2 : Bookkeeping involves the recording and summarizing of financial transactions and other information related to the business on a day-to-day basis.