General Information About Accounts
Business is a base for good quality of life and balancing of accounts is the base for the business. Account or tally software does the work of maintaining this balance. Many types of account and ledgers are kept in business. It is very important to keep them balanced and maintains up to date.
Tally is very useful for this purpose. Also it very important of prepare account statement, for all business houses, tax department, investors, financial institutions and Govt department. Besides this, accounting and money consciousness in necessary for salaried people, retired persons professionals, housewives and student.
Through accounting it is easy to know the money spend and money saved. By doing so good management of money can be done and new avenues to increase the income explored.
In our Site, Information on maintaining simple account has been discussed. Provision has been made to e to explain the benefits of the maintenance of account use of account and use of accounting software.
Generally all people know about the management of account. Following are the computer wise basic concepts:
1. Open the ledger book to look into ledger account. For quick reference, prepare an index and assign folio numbers to each account in the ledger book.
2. Write details of each object such as cash etc in bank book, day book general accounts serially.
3. Daily tally the cash bank books and carry forward the opening balance to the next day.
4. While writing transaction details in ledger folios, do the transaction postings for day book into ledgers.
5. For trial balance and any other account report, post the total of debit and credit sides of each of ledger account and write below the next closing balance.
6. Prepare trial balance. If the balance doesn’t tally, this generally happens in the first attempt find the error for amends. To correct it, check the postings of each column of balance, there may be some clerical copying mistake, posting of total and balancing etc. After this, trial balance gets ready
7. In the end different report of profit and loss account, balance sheet and other accounting statement.
Generally, they are routine accounting works. Transaction figures according to the ledger are carried to different account books for compilation.
To get new statement book has to the written after every transaction. Therefore, it is necessary to update the report each time.
instead of posting, totaling and writing of report, you can create ledger accounts in the ledger folio in the computer vouchers may be entered after writing transaction details in day book. There is no need of calculator to tally the total. Computer accounting has many significant advantages: