(19) BOOK KEEPING BOOK KEEPING, ACCOUNTING AND ACCOUNTANCY
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Meaning.
Book keeping consists of two words
Book + Keeping. It means to keep the books of account to record all the
financial transaction. It is not possible for a person to remember all the
transaction. So these transaction have to be recorded in books in a systematic
manner.
ਇੱਕ ਨਿਸ਼ਚਿਤ ਸਮੇ ਦੌਰਾਨ ਕੀਤੇ ਗਏ ਅਨੇਕਾਂ ਵਿੱਤੀ ਲੈਣ-ਦੇਣਾ ਨੂੰ ਕਿਸੇ ਵਿਅਕਤੀ ਦੁਆਰਾ ਯਾਦ ਰੱਖਣਾ ਔਖਾ ਹੈ ਇਹਨਾਂ ਵਿੱਤੀ ਲੈਣ-ਦੇਣਾ ਦਾ ਲੇਖਾ ਰੱਖਣ ਦੀ ਪ੍ਰਕਿਰਿਆ ਨੂੰ ਬਹੀਂ ਖਾਤਾ ਕਿਹਾ ਜਾਂਦਾ ਹੈ
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Definitions:
"Book keeping is an art of
recording business dealings in a set of books."______J.R. Batliboi
"Book keeping is an art of
recording in the books of accounts the monetary aspect of commercial and financial
transactions."_________Northcott
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Features of Book Keeping:
1. It records the business
transactions only.
2. It records only monetary
transactions and non-monetary transactions are ignored.
3. Transactions are recorded in
chronological order.
4. Transactions are recorded in
systematic and scientific manner.
5. Recording the identify
transactions in the books of original entry.
6. Classifying them into ledger.
The Book Keeping function is routine
and clerical in nature and can be performed by person having limited knowledge
of accounting. At present this function increasingly done by computer.
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Accounting
Accounting starts where Book Keeping
ends.
