Accounting for Beginners : Basic Accounting, Accounting Basic For Beginners, Accounting Basics Tutorial, Basic Accounting Course

Table of contents :
Accounting Basics Tutorial
Audience
Prerequisites
Accounting - Overview
Definition of Accounting
Objectives and Scope of Accounting
Accounting - Process
Accounting Process
Accounting - Basic Concepts
Business Entity Concept
Money Measurement Concept
Example
Going Concern Concept
Cost Concept
Dual Aspect Concept
Accounting Period Concept
Matching Concept
Accrual Concept
Objective Evidence Concept
Accounting - Conventions
Convention of Consistency
Convention of Disclosure
Convention of Materiality
Conservation or Prudence
Accounting - Classification of Accounts
Personal Accounts
Natural Personal Account
Artificial Personal Account
Representative Personal Account
Real Accounts
Nominal Accounts
Accounting - Systems
Single Entry System
Double Entry System
Rules of Debit and Credit under Double Entry System of Accounts
Example
Financial Accounting - Journal
Notes
Analysis and Treatment of Transactions
Financial Accounting - Ledger
Ruling of Account in Ledger Account
Format-1
Format-2
Important Points Regarding Ledger
Illustration
Journal Entries
Financial Accounting - Subsidiary Books
Cash Book
Single Column Cash Book
Format
Double Column Cash Book
Format
Triple Column Cash Book
Petty Cash Book
Format
Purchase Book
Format
Sale Book
Format
Purchase Return Book
Format
Sale Return Book
Format
Bills Receivables Book
Format
Bills Payable Book
Format
Key Features of Subsidiary Books
Bank Reconciliation
Format
Trial Balance
Format
Financial Statements
Owner’s Equity
Current Assets
Current Liabilities
Financial Accounting - Depreciation
Why Do We Need to Account for Depreciation?
Accounting Entries Related to Assets and Depreciation
Method of Depreciation
Format
Format of ledger accounts
Cost Accounting - Introduction
Concepts of Cost Accounting
Cost
Expenses
Loss
Cost Center
Profit Center
Cost Drivers
Conversion Cost
Carrying Costs
Out of Stock Cost
Contribution Margin
Ordering Costs
Development Cost
Policy Cost
Idle Facilities Cost and Idle Capacity Cost
Expired Cost
Incremental Revenue
Added Value
Urgent Cost
Postponable Cost
Pre-production Cost
Research Cost
Training Cost
Cost Accounting - Advantages
Disclosure of profitable and unprofitable activities
Guidance for future production policies
Periodical determination of profit and losses
To find out exact cause of decrease or increase in profit
Control over material and supplies
Relative efficiency of different workers
Reliable comparison
Helpful to government
Helpful to consumers
Classification and subdivision of cost
To find out adequate selling price
Proper investment in inventory
Correct valuation of inventory
Decision on manufacturing or purchasing from outside
Reliable check on accounting
Budgeting
Cost Accounting vs Financial Accounting
Cost Accounting - Classification of Cost
By Nature
By Degree of Traceability of the Product
By Controllability
By Relationship with Accounting Period
By Association with the Product
By Functions
By Change in Activity or Volume
Cost Accounting - Elements of Cost
Direct or Indirect Materials
Direct Labor
Overheads
Cost Accounting - Cost Sheet
Format
Cost Accounting - Cost Control
Cost Control Techniques
Requirements for Successful Cost Control
Cost Accounting - Cost Reduction
Cost Reduction Program
Fields Covered under the Cost Reduction Program
Design
Financial Management
Personal Management
Material Control
Production
Tools and Techniques of Cost Reduction
Cost Accounting - Budgeting Analysis
Budget, Budgeting, and Budgetary Control
Budget
Budgeting
Budgetary Control
Types of Budgets
Functional Budgets
Master Budget or Summarized Budget or Finalized Profit plan
Fixed Budget
Flexible Budget
Zero Base Budgeting
Control Ratios
Flexible Budget Vs. Fixed Budget
Flexible Budget
Example
Solution
Cash Budget
Format
Cost Accounting - Marginal Costing
Need for Marginal Costing
Features of Marginal Costing
Ascertainment of Profit under Marginal Cost
Income Statement under Marginal Costing
Advantages of Marginal Costing
Cost Accounting - Standard Costing
Points Related to Standard Costing
Standard Cost Card
Format
Cost Accounting - Variance Analysis
Direct Material Variance
Direct Labor Variance
Cost Accounting - CVP Analysis
Assumptions
Marginal Cost Equation
Contribution
Profit-Volume Ratio
Break-Even Point
Margin of Safety
Break-Even Chart
Example
Management Accounting - Introduction
Characteristics of Management Accounting
To Provide Accounting Information
Cause and Effect Analysis
Special Technique and Concepts
Decision Making
Achieving Tasks
No Fixed Norms
Increasing Efficiency
Informative Instead of Decision Making
Forecasting
Objectives of Management Accounting
Planning and Formulating Policies
Controlling Performance
Interpreting Financial Statement
Motivating Employees
Making Decisions
Reporting to Management
Coordinating among Departments
Administrating Tax
Management Vs. Cost Accounting
Management Vs. Financial Accounting
Management Accounting - Cash Flow
Cash
Cash and Cash Equivalents
Cash Flows
Classification of Cash Flows
Cash flow from operating activities
Cash flow from investing activities
Cash flow from financing activities
Treatment of Some Typical Items
Extraordinary Items
Interest and Dividends
Taxes on Income
Foreign Currency
Non-Cash Transactions
Format: (Direct Method)
Schedule - 1
Schedule-2
Schedule-3
Cash Flow Indirect Method
Format
Schedule-1
Schedule-2
Schedule-3
Management Accounting - Ratio Analysis
Accounting Analysis
Ratio Analysis and its Applications
Advantages of Ratio Analysis
Limitations of Ratio Analysis
Types of Ratio
Classification on the Basis of Financial Statement
Balance Sheet Ratios
Revenue Statement Ratio
Mixed or Composite Ratio
Classification on the Basis of Financial Aspects
Liquidity Ratios
Long-Term Solvency and Leverage Ratios
Activity Ratios
Profitability Ratios
Management Accounting - Useful Ratios
Management Accounting - Working Capital
Gross Working Capital and Net Working Capital
Working Capital Cycle
Accounting Basics - Quick Guide
Accounting - Overview
Definition of Accounting
Objectives and Scope of Accounting
Accounting - Process
Accounting Process
Accounting - Basic Concepts
Business Entity Concept
Money Measurement Concept
Example
Going Concern Concept
Cost Concept
Dual Aspect Concept
Accounting Period Concept
Matching Concept
Accrual Concept
Objective Evidence Concept
Accounting - Conventions
Convention of Consistency
Convention of Disclosure
Convention of Materiality
Conservation or Prudence
Accounting - Classification of Accounts
Personal Accounts
Natural Personal Account
Artificial Personal Account
Representative Personal Account
Real Accounts
Nominal Accounts
Accounting - Systems
Single Entry System
Double Entry System
Rules of Debit and Credit under Double Entry System of Accounts
Example
Financial Accounting - Journal
Notes
Analysis and Treatment of Transactions
Financial Accounting - Ledger
Ruling of Account in Ledger Account
Format-1
Format-2
Important Points Regarding Ledger
Illustration
Journal Entries
Financial Accounting - Subsidiary Books
Cash Book
Single Column Cash Book
Format
Double Column Cash Book
Format
Triple Column Cash Book
Petty Cash Book
Format
Purchase Book
Format
Sale Book
Format
Purchase Return Book
Format
Sale Return Book
Format
Bills Receivables Book
Format
Bills Payable Book
Format
Key Features of Subsidiary Books
Bank Reconciliation
Format
Trial Balance
Format
Financial Statements
Owner’s Equity
Current Assets
Current Liabilities
Financial Accounting - Depreciation
Why Do We Need to Account for Depreciation?
Accounting Entries Related to Assets and Depreciation
Method of Depreciation
Format
Format of ledger accounts
Cost Accounting - Introduction
Concepts of Cost Accounting
Cost
Expenses
Loss
Cost Center
Profit Center
Cost Drivers
Conversion Cost
Carrying Costs
Out of Stock Cost
Contribution Margin
Ordering Costs
Development Cost
Policy Cost
Idle Facilities Cost and Idle Capacity Cost
Expired Cost
Incremental Revenue
Added Value
Urgent Cost
Postponable Cost
Pre-production Cost
Research Cost
Training Cost
Cost Accounting - Advantages
Disclosure of profitable and unprofitable activities
Guidance for future production policies
Periodical determination of profit and losses
To find out exact cause of decrease or increase in profit
Control over material and supplies
Relative efficiency of different workers
Reliable comparison
Helpful to government
Helpful to consumers
Classification and subdivision of cost
To find out adequate selling price
Proper investment in inventory
Correct valuation of inventory
Decision on manufacturing or purchasing from outside
Reliable check on accounting
Budgeting
Cost Accounting vs Financial Accounting
Cost Accounting - Classification of Cost
By Nature
By Degree of Traceability of the Product
By Controllability
By Relationship with Accounting Period
By Association with the Product
By Functions
By Change in Activity or Volume
Cost Accounting - Elements of Cost
Direct or Indirect Materials
Direct Labor
Overheads
Cost Accounting - Cost Sheet
Format
Cost Accounting - Cost Control
Cost Control Techniques
Requirements for Successful Cost Control
Cost Accounting - Cost Reduction
Cost Reduction Program
Fields Covered under the Cost Reduction Program
Design
Financial Management
Personal Management
Material Control
Production
Tools and Techniques of Cost Reduction
Cost Accounting - Budgeting Analysis
Budget, Budgeting, and Budgetary Control
Budget
Budgeting
Budgetary Control
Types of Budgets
Functional Budgets
Master Budget or Summarized Budget or Finalized Profit plan
Fixed Budget
Flexible Budget
Zero Base Budgeting
Control Ratios
Flexible Budget Vs. Fixed Budget
Flexible Budget
Example
Solution
Cash Budget
Format
Cost Accounting - Marginal Costing
Need for Marginal Costing
Features of Marginal Costing
Ascertainment of Profit under Marginal Cost
Income Statement under Marginal Costing
Advantages of Marginal Costing
Cost Accounting - Standard Costing
Points Related to Standard Costing
Standard Cost Card
Format
Cost Accounting - Variance Analysis
Direct Material Variance
Direct Labor Variance
Cost Accounting - CVP Analysis
Assumptions
Marginal Cost Equation
Contribution
Profit-Volume Ratio
Break-Even Point
Margin of Safety
Break-Even Chart
Example
Management Accounting - Introduction
Characteristics of Management Accounting
To Provide Accounting Information
Cause and Effect Analysis
Special Technique and Concepts
Decision Making
Achieving Tasks
No Fixed Norms
Increasing Efficiency
Informative Instead of Decision Making
Forecasting
Objectives of Management Accounting
Planning and Formulating Policies
Controlling Performance
Interpreting Financial Statement
Motivating Employees
Making Decisions
Reporting to Management
Coordinating among Departments
Administrating Tax
Management Vs. Cost Accounting
Management Vs. Financial Accounting
Management Accounting - Cash Flow
Cash
Cash and Cash Equivalents
Cash Flows
Classification of Cash Flows
Cash flow from operating activities
Cash flow from investing activities
Cash flow from financing activities
Treatment of Some Typical Items
Extraordinary Items
Interest and Dividends
Taxes on Income
Foreign Currency
Non-Cash Transactions
Format: (Direct Method)
Schedule - 1
Schedule-2
Schedule-3
Cash Flow Indirect Method
Format
Schedule-1
Schedule-2
Schedule-3
Management Accounting - Ratio Analysis
Accounting Analysis
Ratio Analysis and its Applications
Advantages of Ratio Analysis
Limitations of Ratio Analysis
Types of Ratio
Classification on the Basis of Financial Statement
Balance Sheet Ratios
Revenue Statement Ratio
Mixed or Composite Ratio
Classification on the Basis of Financial Aspects
Liquidity Ratios
Long-Term Solvency and Leverage Ratios
Activity Ratios
Profitability Ratios
Management Accounting - Useful Ratios
Management Accounting - Working Capital
Gross Working Capital and Net Working Capital
Working Capital Cycle