The document introduces accounting and discusses its main objectives of maintaining complete records of transactions and analyzing a business's financial position, the three accounting rules of personal accounts, real accounts, and nominal accounts, and the benefits of accounting such as learning basic concepts, journal entries, ledgers, trial balances, and financial statements. It also provides sample questions to test understanding of accounting terms and concepts.

1. Dr.B.Amali Prabha
Assistant Professor of Commerce
Thiagarajar College of Preceptors
Madurai-9
INTRODUCTION TO ACCOUNTING

4. Objectives
• Main objectives of accounting are
maintaining a complete and systematic record
of all transactions and analyzing the financial
position of a business.
• Every individual or a business concern is
interested to know the results of financial
transactions and their results are ascertained
through the accounting process.

5. RECORDING
SUMMARIZING
REPORTING

6. What are the 3 accounting rules?
• Personal Account - Debit the receiver,
credit the giver.
• Real Account - Debit what comes in,
credit what goes out.
• Nominal A/c - Debit all expenses and
losses and Credit all incomes and gains

7. Benefits
• Carry out basic accounting for study/job/business.
• Get an understanding of the basic accounting
concepts.
• Learn the preparation of journal entry,
• ledgers trial balances and financial statements
• Understand the process of closure of accounts.
• Know the process of making adjustments in
books.

8. 1. Which of the following is an item of working
capital?
• Fixed assets
• Long-term investments
• Accounts receivable

9. Questions for Practice
• Define accounting.
• Enumerate main objectives of
accounting.4.Who are the users of accounting
information.

10. ANALYSING

11. Verifying

12. Measuring