BCA408

Accounting Fundamental
Code: 
BCA408
Year / Semester: 
4th Semester
Objective: 

To understand Fundamental Knowledge of Journal Entry, Ledger & Financial Statements, Distinction between Capital & Revenue Expenditure/ Income and Making Various Bills, to make Cheques and Deposit Slip.

Credits: 
3

Fundamental Knowledge of Journal Entry, Ledger & Financial Statements

Classification of accounts as cash inflow & outflow concept, real, nominal & personal account wise, knowledge of golden rules of accounting, double entry system, preparation of ledger accounts & on the basis of above preparation of balance sheet and profit & loss account.

Distinction between Capital & Revenue Expenditure/ Income

Basic difference is in the periodicity i.e capital items relate to a longer span of time whereas revenue items are related to current year(shorter period) only. Proper Distinction between them ensures that: i) true & accurate position of entity is reflected by financial statements, ii) profits for a year are not underestimated due to inclusion of capital expenditure or overestimated due to inclusion of capital income.

Making Various Bills, How to make Cheques and Deposit Slip

Putting Proper Date, reference no. or bill no., signature by authorised signatory, recording details of cheque issued,certain key points to be kept in mind while making a cheque, filling of deposit slips etc.

Voucher Preparation & Feeding

To facilitate voucher preparation & feeding knowledge of various heads of income & expenditure, ledger accounts, passing of receipt, payment, journal, memorandum entries etc.

Suggested Readings: 
  1. Fundamental Accounting Principles with Best Buy Annual Report by John J. Wild, Ken W. Shaw, and Barbara Chiappetta.
  2. Financial Accounting Fundamentals 2009 Edition by John J. Wild
  3. Fundamental Managerial Accounting Concepts by Thomas P. Edmonds, Philip Olds, and Bor-Yi Tsay
  4. Fundamentals of Financial Accounting with Annual Report by Fred Phillips, Robert Libby, and Patricia Libby
  5. Fundamentals of Advanced Accounting by Joe Ben Hoyle, Thomas F. Schaefer, and Timothy S. Doupnik