Basic Concpets
What do you mean by book keeping
Book keeping is analysing , classifying and recording the transactions
Plant & Machinery
Real account
entity concept
business and owner are two different entity
Purchase of machinery
CE
AS 1
Disclosure of accounting policies
Capital
Amt invested by business men
Bank of baroda
Personal Account
cost concept
Acquistion of cost of all items purchased
Purchase of Tyewriter for resale
RE
AS 2
full form of ICAI
Institute of Chartered Accountant of India
Goods account
Real account
going concern concept
infinite life of business
wages paid
RE
AS 3
Cash Flow Statement
Credit Sales
Printing & Stationery
Nominal account
consistency concept
poicies have to be consistent
Profit on sale of Fixed Asset
CR
AS 11
Foreign Exchange Transactions