# CONTENTS # CHAPTER 1: INTRODUCTION TO ACCOUNTING # NEED FOR ACCOUNTING # MEANING OF BOOK-KEEPING # MEANING OF ACCOUNTING # DEFINITION OF ACCOUNTING # OBJECTS OF ACCOUNTING # FUNCTIONS OF ACCOUNTING # ACCOUNTING AS A LANGUAGE # IS ACCOUNTING A SCIENCE OR AN ART? # DISTINCTION BETWEEN BOOK-KEEPING AND ACCOUNTING # USERS OF ACCOUNTING INFORMATION # BRANCHES OF ACCOUNTING # FINANCIAL ACCOUNTING VERSUS MANAGERIAL ACCOUNTING # ADVANTAGES OF ACCOUNTING # LIMITATIONS OF ACCOUNTING # BASIS OF ACCOUNTING # DIFFERENCE BETWEEN ACCURAL BASIS OF ACCOUNTING AND CASH BASIS OF ACCOUNTING # FEW BASIC TERMS # ACCOUNTING EQUATION # Accounting Equation # Rules of Accounting Equation # ILLUSTRATION # SOLUTION # ILLUSTRATION # SOLUTION # Effects of Business Transactions on Accounting Equation and Balance Sheet # Introduction of Capital # Purchase of an Asset by Cheque # Purchase of an Asset and incurring of a Liability # The Accounting Equation: # Sale of an Asset on Credit # The Accounting Equation: # Sale of an Asset for Immediate Payment # The accounting equation: # Payment of a Liability # Accounting Equation # Collection of an Asset # ILLUSTRATION # SOLUTION # SYSTEM OF ACCOUNTING # FACTORS COMMON TO EVERY BUSINESS # CLASSIFICATION OF ACCOUNTS # ILLUSTRATION # SOLUTION # RULES OF THE DOUBLE ENTRY SYSTEM # ANALYSIS OF TRANSACTIONS # ADVANTAGES OF DOUBLE ENTRY SYSTEM # DISADVANTAGES OF DOUBLE ENTRY SYSTEM # ACCOUNTING CYCLE # QUESTIONS # LONG ANSWER TYPE # PRACTICAL PROBLEMS