11th Commerce | Chapter 1 | Introduction of Book keeping and accountancy
11th Commerce | Chapter 1 | Introduction of Book keeping and accountancy
Introduction :
Book-keeping is related with recording of business transactions. Business enterprise and other
organizations deal in activities which involve exchange of money or money’s worth. All these activities
are recorded for the purpose of taking important decisions as to whether the activities are feasible,
profitable and are to be continued or not. Information about the business and other organizations is
required not only by the proprietors and managers of business and other organizations but also to
various other stakeholders such as the government, investors, customers, employees and researchers.
Evolution of Accounting :
In India, during Chandragupta Maurya’s regime, Minister Kautilya wrote a book named
‘Arthashastra’, where in some references can be traced regarding the way of maintaining accounting
records. Afterwards it was called as “Deshi Nama”.
In the earlier time of civilization, accounting was done by agents who managed the properties of
wealthy people. They prepared accounts periodically for the owners of property. The records of debit
and credit were found in the 12th century itself
