BOOK KEEPING

1. BOOK KEEPING

2. Meaning of Book-Keeping With the phenomenal growth of trade, industry and commerce, there is a tremendous increase in the number of business transactions, which is humanly impossible to remember. It has given rise to the need for clear, simple and systematic recording of such transactions in the books of accounts. Systematic recording of transactions in the books of accounts is popularly called ‘Book- Keeping.’

3. Book Keeping “Book-Keeping is the science of recording transactions in money or money’s worth in such a manner that, at any subsequent day, the nature and effect of each transaction, and the combined effect of all the transactions, may be clearly understood so that the accounts prepared at any time from the records thus kept may show the owner of the books his true financial position.”--Cooper

4. Book Keeping “Book- Keeping is the art of applying the principles of accounting in the keeping of books of accounts.”—Andrew Manro “As the science and art of correctly and systematically recording in the books of accounts the business transactions of an individual or a concern in such a way as to show clearly the monetary effects of each such transaction.”:--N. Sarkar

5. Book Keeping “Book- Keeping is the science and art of correctly recording in the books of accounts, all those business transactions that result in the transfer of money or money’s worth. It may also be defined as the art of recording mercantile transactions in a regular and systematic manner. The art of keeping accounts in such a manner that a man may know the true state of his business and property by an inspection of his books.”—Carter

6. Book keeping “Book- Keeping is the recording of financial transactions of a business in a methodical manner so that information on any point in relation to them may be quickly obtained.”--Favell In nutshell, book- keeping may be defined as an art of recording business transactions in a systematic and methodical manner.

7. It is an ancient art, certainly as old as money itself even though the art must have been rudimentary in the beginning. Chanakya in India clearly indicates, in his Arthashastra, the existence and need of proper accounting and audit. The Indian system of accounting is as scientific and systematic as the one developed in the West and is certainly older. However, the modern system of accounting, as we know it, owes its origin to Pacioli who lived in Italy in the 15th century. The art of accounting has been practiced for long but it was only in the late thirties of the last century, that the study of the theory of accounting was taken up seriously.