Learning Objectives After studying this Chapter, you will be able to: understand the Need, Meaning, Definition, Objectives and Advantages of
Book-Keeping. know the Need, Definition, Objectives and Process of Accounting. distinguish between Book-Keeping and Accounting. identify the Users of Accounting Information and their Need. know the Basic Accounting Terms. _________________________________________________________________
“Accounting is as old as money itself”. Since in early ages commercial activities were based on barter system, record keeping was not a necessity. The Industrial Revolution of 19th century along with rapid rise in population, paved way for the development of commercial activities, mass production and credit terms. Thus recording of business transaction has become an important feature. In recent years with the change of technologies and marketing along with stiff competition, accounting system has undergone remarkable changes.