Accounting Lecture-1

Chapter Name: Basic Concept of Accounting

✓ Definition of Accounting

✓ Development of Accounting Standard

✓ Purpose of Accounting

✓ Nature and Characteristics of Accounting

✓ Accounting as a Language of Business

✓ Distinction between Accounting and Bookkeeping

✓ Financial Accounting Vs Management Accounting

✓ Accounting Practice in Bangladesh

✓ Accounting Profession in Accounting Field

✓ Accounting Ethics

✓ History of Accounting

✓ Definition of Accounting
Accounting is identifying, measuring, and communicating the economic activity of a business to make financially smart and informed decisions.
It is an information system. It is called the language of business. Accounting is the art of interpreting, measuring, and communicating the results of economic activities.
Accounting is an information system of overall financial transactions. It is called the language of business.
The American Accounting Association (AAA) defines accounting as “the process of identifying, measuring, and communicating economic information to permit information judgment and decision by the user of the information”
Accounting is the systematic recording, reporting, and analysis of financial transactions of a business. The person in charge of accounting is known as an accountant, and this individual is typically required to follow a set of rules and regulations, such as the Generally Accepted Accounting Principles. Accounting allows a company to analyze the financial performance of the business, and look at statistics such as net profit.

✓ Development of Accounting Standard

Accounting principles have been developed through a historical way. Principles can be acceptable if most professional bodies allow it. These principles can be phrased as GAAP which acts as constitution profitable or non-profitable or governmental organization. Some international bodies have played a vital role