This powerpoint presentation is created by Gyanbikash.com for the students of class nine to ten from their accounting NCTB textbook for multimedia class.

2. ACCOUNTS
5
This presentation is owned by
ABUL KALAM AZAD PATWARY
“for class 9-10[accounting]”

3. Financial transactions change the financial position of the business. By
transaction sometime cash received sometime paid, sometime income
earned sometime expense incurred, sometime asset increase
sometime decrease, and again sometime liability
increase sometime decrease. Income, Expense, Asset and Liability are
not a particular type, there are different types of many such items in
business organization. In a particular table/chart the income, the
expense, the asset or the liability that is affected by transaction are
recorded as per double entry system and it
calculates the gross & net amount of that particular item. Accounts are
prepared to know the continuous change and the net amount of each
item

4. Concept of Accounts:
The main objective of business organizations is to
calculate financial result and
financial position. It’s required to record the
transactions in disciplined & proper
way to achieve this objective. Because of transactions
continuous increase –
decrease happen to assets, liabilities, incomes,
expenses and to equity. It’s needed to record this
serially and to know the net amount of each item at an
interval of
specific time.

5. EVENTS
Mr. Shagor is an employee. In march 2012 he gets salary tk.15,000; sold old furniture
for tk.3,000 and loan taken from bank tk.5,000. He spent tk.8,000 for house rent;
tk.5,000 for food; tk.1,000 for gas & electric bill; tk.500 for conveyance; tk.3,000 for
treatment and tk.2000 for children’s education.
All cash receipts and all cash payments are mentioned above of Mr. Shagor for
the month march 2012. How much cash balance will leave in hand? To know the
balance following way can be applied-
Total Receipts = (15,000+3,000+5,000) = tk.23,000
Total Payments= (8,000+5,000+1,000+500+3,000+2,000)= tk.19,500
Balance = (23,000-19,500) = tk.3,500

6. What Is An Account?
To keep a company's financial data organized, accountants developed a system that sorts
transactions into records called accounts. When a company's accounting system is set up,
the accounts most likely to be affected by the company's transactions are identified and
listed out. This list is referred to as the company's chart of accounts. Depending on the size
of a company and the complexity of its business operations, the chart of accounts may list as
few as thirty accounts or as many as thousands. A company has the flexibility of tailoring its
chart of accounts to best meet its needs.
Within the chart of accounts the balance sheet accounts are listed first, followed by the
income statement accounts. In other words, the accounts are organized in the chart of
accounts as follows:
Assets
Liabilities
Owner's (Stockholders') Equity
Revenues or Income
Expenses
Gains
Losses

7. Debits and Credits
After you have identified the two or more accounts involved in a business transaction,
you must debit at least one account and credit at least one account. To debit an account
means to enter an amount on the left side of the account. To credit an account means to
enter an amount on the right side of an account.
Generally these types of accounts are increased with a debit:
Dividends (Draws) ,Expenses, Assets, Losses
You might think of D - E - A - L when recalling the accounts that are increased with a debit.
Generally these types of accounts are increased with a credit:
Gains
Income
Revenues
Liabilities
Stockholders' (Owner's) Equity
You might think of G - I - R - L - S when recalling the accounts that are increased with a credit.
To decrease an account you do the opposite of what was done to increase the account. For
example, an asset account is increased with a debit. Therefore it is decreased with a credit.
The abbreviation for debit is dr. and the abbreviation for credit is cr.

8. T-accounts
Accountants and bookkeepers often use T-accounts as a visual aid for seeing the
effect of the debit and credit on the two (or more) accounts.

9. Features of ‘T’- Table
There will be a title of Account
The table will be divided into two parts Debit & Credit
Four columns both side total eight columns
Balance of accounts(Difference between total Debit & total Credit) should be
calculated after an interval of specific time period
Should have a code number for each account

10. MOVING BALANCE TABLE

11. Features of ‘Moving Balance’- Table
There will be a title of Account
Should have a code number for each account
One column each for date, description & journal folio(J.F.)
Total four columns for amount (Taka)
Debit & Credit amount column situated side by side
Balance of accounts is calculated after each posting of transaction