Fundamental of Accounting and Tally Prime Notes

Fundamental of Accounting and Tally Prime Notes for Self Study and Computer Coaching classes. Step by Step training Notes with Practice assignment.

Definition of Accounting

Accounting is the process of identifying, recording, classifying and reporting information on financial transactions in a systematic manner for the purpose of providing financial information for decision making.

Types of Accounts

There are basically three types of Accounts maintained for transactions

• Personal Account
• Real Account
• Nominal Account

Personal Account: Any individual person or any firms or any company or a bank is considered in a Personal account. For example:-   Rajesh Singh, Muna Enterprise,    Wipro Pvt Ltd, PNB Bank, Capital etc.

Real Account: Account of any physical things. The cash account or goods account are examples of Real account. For example:-   Cash, Land, Building, Furniture, Computer etc.

Nominal Account: Account of any invisible things that means that things are in terms of cash are examples of Nominal account. For example:-  Discount, Commission, Salary, Wages, Freight etc.

Golden Rules of Accounting

Personal Accounts

Real Accounts

Nominal Accounts

Entries in Account Book

1. Suresh started a business with cash Rs 1,80,000

2. Cash deposited into PNB bank Rs 55000

3. Purchase goods for cash Rs 22000

4. Bought goods fromSona Enterprise Rs 72000

5. Sold goods for cash Rs 16200

6. Paid rent for the year by PNB bank chequeRs 6000

7. Withdraw cash into PNB bank Rs 40000

8. Purchased furniture for cash Rs 5000

9. Sold goods to SuperRs 12700

10. Received cash from SuperRs 12446 and allowed him discount Rs 254

11. Paid wages Rs 1800

12. Paid cash for trade Expenses Rs 2000

13. Withdraw cash for private Expenses Rs 8000

14. Depreciation on Machinery Rs 50000

Financial Year Start 1 April To 31 March

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