By Y P Singh
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Extra info for Accounting and Financial Management for I. T. Professionals
Q. 7. Explain the limitations of accounting information. Q. 8. Describe the users of accounting information. Q. 9. ) professionals. T. 1 INTRODUCTION Book-keeping means maintaining books of accounts. g. ) Organizations act as legal person. Real A/c (Related to assets) Tangible A/c (These accounts relate to things than can be touched, felt, measured, etc. g. g. ) These accounts deal with expenses and losses, income and gains. For example, rent, lighting, insurance, dividends or income received or expenses for services received by the firm etc.
Sent an employee with Rs. 1200 for collection of goods. The employee paid Rs. 100 for auto charges and returned the balance. No. Particulars 1 Purchase A/c …Dr. Dr. F. Dr. ) 5,000 900 2,000 2,000 Sales Return A/c or Return inward A/c To Shyam A/c (being goods returned by Shyam) 200 5 Salary A/c …Dr. To Outstanding salary A/c (being salaries remaining unpaid) 2,500 2,500 6 Prepaid Insurance A/c …Dr. To Insurance A/c (being insurance paid in advance) 1,500 Drawing A/c …Dr. To Cash A/c (being amount withdrawn by the proprietor) 2,000 Drawing A/c …Dr.
F. …Dr. ) 20 To Cash A/c 20 (being brokerage of Rs. 20 written off as an expense) March 28 Purchase A/c …Dr. 2,100 To Bhuwan A/c 2,100 (being purchase made on credit from Bhuwan ) March 28 Raghvendra A/c …Dr. 3,000 To Sales A/c 3,000 (being credit sales made to Raghvendra) March 29 Return Inward A/c …Dr. 100 To Raghvendra A/c 100 (being goods returned by Raghvendra) March 29 Bhuwan A/c …Dr. 100 To Return Outward A/c 100 (being goods purchased from Bhuwan returned) March 30 Rent A/c …Dr 1,000 To Bank A/c (being rent paid to landlord for April) March 30 Salary A/c …Dr.
Accounting and Financial Management for I. T. Professionals by Y P Singh