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Represented by Group No-2: Arijeet Swarap Kumar

The document discusses the double entry system of bookkeeping and accounting standards. It defines the double entry system as a method that records transactions using debit and credit rules to track changes in assets, liabilities, and equity. The system provides benefits like easy balance sheet preparation but has disadvantages like high costs. Accounting standards aim to harmonize diverse accounting policies. They provide consistency but can limit flexibility. The document also outlines various accounting standards from AS1 to AS31.

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26 views

Represented by Group No-2: Arijeet Swarap Kumar

The document discusses the double entry system of bookkeeping and accounting standards. It defines the double entry system as a method that records transactions using debit and credit rules to track changes in assets, liabilities, and equity. The system provides benefits like easy balance sheet preparation but has disadvantages like high costs. Accounting standards aim to harmonize diverse accounting policies. They provide consistency but can limit flexibility. The document also outlines various accounting standards from AS1 to AS31.

Uploaded by

arijit_bhowmick9064
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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REPRESENTED BY GROUP NO-2

ARIJEET SWARAP KUMAR

DOUBLE ENTRY SYSTEM BOOK KEEPING ACCOUNTING STANDERED

DEFINATION OF DOUBLE ENTRY SYSTEM


Book keeping is a based on double entry system that
records transactions and events by using Debit-Credit rule. These are changes in balance sheet, elements live, assets liabilities and equity. In section 2.1, we observe that every transaction changes the carrying amount of assets or liabilities. In case the amount of change in assets and liabilities does not match other (corresponding) assets or liabilities.

ADVANTAE OF DOUBLE ENTRY SYSTEM


Trial balance can be drawn up on any day to prove the

arithmetical accuracy of record. As all personal accounts of debtors and creditors as well as real accounts are kept, it is possible to prepare to balance sheet. The transactions being recorded in the most scientific and systematic way gives the most reliable information on business.

DISADVANTAGES OF DOUBLE ENTRY SYSTEM


This system requires the maintenance of number of

books of accounting which is not practical in small concerns. The system is costly because a number of records are to be maintained. There is no guarantee of absolute accuracy of the books of accounts inspite of agreement of the trial balance.

THE EFFECT OF TRANSACTIONS ARE


Increase in one type of asset with decrease

corresponding assets. (purchase of equipment by cash) Increase in assets with increase corresponding liabilities (purchase equipment by credit) Decrease assets with decrease corresponding liability (repayment of loan) Decrease assets with decrease in equity (payment of wages and salaries)

ACCOUNTING STANDARDS
Meaning of accounting standard
An accounting standard is a selected set of accounting policies or broad guidelines regarding the principles and method to be chosen out of several alternatives.

Objective of A.S
The main objective of a accounting standards is to harmonies the diverse accounting policies and practices at present in India. Harmonisation of accounting standards do permit flexibility to move the necessary

ADVANTAGES OF A.S
Standard reduce to a reasonable extent for prepare financial statement
Where important information are not required by

law to be disclosed, standards may cp for disclosure beyond that required by law In financial statements of different companies situated at different places

DISADVANTAGE OF A.S
There are may be trend towards rigidity and away from flexibility in apply accounting places.
Difference accounting standard are bound to be

because of difference in the traditions. Accounting standards can not over ride the law. It contains 31 types, from AS1-AS31

FROM AS01-AS07
AS 1 Disclosure of Accounting Policies

AS 2 Valuation of Inventories
AS 3 Cash Flow Statements AS 4 Contingencies and Events Occurring after the Balance

Sheet Date AS 5 Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies AS 6 Depreciation Accounting AS 7 Construction Contracts

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FROM AS 08-17
AAS 8 Accounting for Research and Development

(Withdrawn pursuant to AS 26 becoming mandatory) S 9 Revenue Recognition AS 10 Accounting for Fixed Assets AS 11 The Effects of Changes in Foreign Exchange Rate AS 12 Accounting for Government Grants AS 13 Accounting for Investments AS 14 Accounting for Amalgamations AS 15 Employee Benefits AS 16 Borrowing Costs AS 17 Segment Reporting
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FROM 18-26
AS 18 Related Party Disclosures AS 19 Leases AS 20 Earnings Per Share

AS 21 Consolidated Financial Statements AS 22 Accounting for Taxes on Income AS 23 Accounting for Investments in Associates in Consolidated Financial Statements AS 24 Discontinuing Operations AS 25 Interim Financial Reporting AS 26 Intangible Assets
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FROM AS27-31
AS 27 Financial Reporting of Interests in Joint

Ventures AS 28 Impairment of Assets AS 29 Provisions, Contingent Liabilities and Contingent Assets AS 30 Financial Instruments: Recognition and Measurement AS 31Financial Instruments: Presentation

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