DEVELOPMENT OF
ACCOUNTING
Lucas F. Pacioli, a resident of Venice (Italy), is
regarded as the founder of book-keeping. His book ‘De Computiset Scripturise’ was published in 1494, which is regarded
as the first book on book-keeping. Really speaking, it was a book on Arithmetic
and book- keeping was described in its one part only. The advent of industrial
revolution resulted in large- scale production, competition and extention of
market.
MEANING OF BOOK- KEEPING
Book- keeping is an art
as well as a science of recording business transactions and other transactions
of financial nature related to an individual, firm, company, corporation and
other associations of persons and institutions in a certain set of books regularly
according to prescribed rules and regulations on the basis of some definite
system for fulfillment of certain objects.
DEFINITION OF ACCOUNTING
Where book-
keeping ends accounting begins. Accounting refers to process of preparing and
presenting the accounts in a scientific and systematic manner.
According to
American Institute of Certified Public Accountants (AICPA), ‘’Accounting is the
art of recording, classifying, and summarising in a significant manner and in
terms of money, transactions and events which are of a financial character and
interpreting the results thereof. ’’
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