1.

Define Accounting

-Accounting is also highly essential in businesses to keep their financial information

organized, which will assist them understand their financial data.

2. What are the elements of accounting? explain each one

- Resource documents

that track business transactions are known as resource documents.

- Input devices

such as a keyboard, a barcode scanner, and a Modmother, are used to enter transaction data
into the accounting system.

- Information processors

Raw data from input devices is transferred to ledgers, journals, and reports via information
processors.

- Information storage

There are no system components that store information processor-generated reports and
ledgers.

- Output Devices

Any device that receives information from the storage system and displays it in an usable way,
such as printers, monitors, and projectors, is an output device.

3. What is the conceptual framework of accounting

- The conceptual framework

Is defined as a set of principles and goals that leads to the development of a set of uniform
rules and standards.
4. What are the elements of conceptual framework

- Basic objective, basic concepts, Recognition, Measurement, and Disclosure concepts are the five
aspects that make up a conceptual framework.

5. Provide the elements of financial statement? Explain each

- ASSETS

Is a resource that the Enterprise controls as a result of previous events and from which it expects
future economic rewards.

Ex.

Cash, equipment, accounts receivable, notes, buildings, land machinery, and other assets are
included.

- Liabilities

Are an entity's liabilities to other parties who have provided resources.

Ex.

Accounts payable, notes payable, accrued liabilities, and so on are examples. Unearned
Earnings Mortgage is due, Bonds to be paid

- Equity

EQUITY

-is the residual interest in the assets of the Enterprise after deducting all it's liabilities

Ex.

Capital, Withdrawals, Income summery

Revenues

-this is an increase in assets or decrease in liabilities coused by the provision of services or

products to customers

Ex.

Product sales, Service sales

- EXPENSES

This is the reduction in value of an assets as it use to generate revenue

Ex.

Enterest expenses, Compensation expense, Utilities expense