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th GROUP 2 - 12 - ABM - 2

-The Down of Modern

Accounting in Europe
and America
A BRIEF HISTORY OF
ACCOUNTING
“It is believed that the very origins of writing itself may
have developed out of early marks used to keep account of
goods at ancient warehouse more than 5,300 years ago. The
notion that pre-numerical counting systems pre-dated even
written language, didn’t come as surprise to many
historians and archeologists who have long since
recognized that the history of human civilization is largely
indistinguishable from the history of commerce.”

Wiley , Carol . ‘The History of Accounting .’’ A State by State Accounting

Ancient Accounting in
Egypt, Mesopotamia,
Greece , AND Rome
- The abacus which functioned as a calculatorin the acient times , was developed by
the sumerians in 5,000 BCE followed by the papyrus which was developed by ancient
Egyptians in 4,000 BCE.

-Archeologist Dr. Gunter Dreyer of the German Institute of Archeology unearthed

clay tablets considered to be the oldest written tax accounting records.

-In the tomb of King Scorpion I in Egypt , he discovered old stones labels believe to
date back to 3,000 BCE or around 5,300 years ago. These old stones labels were
complete with marks representing accounts of oil an linens which were believe to be
paid to the king as taxes.

- Mesopotamia had clay tokens and clay tablets to record their loan , herbs , crops,
and system of trade.

- The Greek also made significant contributions to development of accounting. In

600 BCE, they introduced money in the form of coins. Moreover, they adopted the
Phoenician wrting system and invented a Greek alphabet which used to used record-
keeping.
- As early as those ,times bankers in Greece offered credit and
help people transfer funds to bank in other cities as evidence by
the bankers 'books of account.

- In fact, the romance introduced the use of annual budget

which coordinated estimated revenues and taxes paid by the
citizen in relation to the nation's expenditures. A cash book was
maintained by the household for their expenses.

- In 1086, Domesday book contains all the real estate surveyed

by William the conqueror and the taxes due to them. To date,
the Pipe Rules or the Great Roles of Exchequer is the most
ancient surviving accounting record in the English language.
 14 century -
th

The Birth of Double-Entry

Bookkeeping
 - During the 14th century, Luca Pacioli of Italy, otherwise known as
Friar Luca dal Borgo , a mathematician, friend and contemporary of
Leonardo da Vinci, and considered to be the "Father of Accounting "
who wrote Summa the Arithmetica, Geometria , Proportioni et
Proportionalita ( everything about arithmetic, geometry and
proportion).
- One section of this book, De computis et Scripturis ( of the Reckoning
and Writings), is composed of 36 short chapters that describe
bookkeeping.

- Pacioli credited Bebedetto Cotrugli , for the original idea of the

double-entry bookkeeping.

- Cotrugli's manuscript of Della Mercatura at del Mercante Perfetto ( of

Trading and The Perfect Trader) , which contains a brief description of
the double entry of bookkeeping, was never printed.

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 19TH CENTURY -
The Dawn of Modern
Accounting in Europe
and America
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 - In England, the Industrial revolution which place
hand tools with machine or power tools, otherwise
known as the factory system, transformed accounting
into an actual profession.

- In Scotland, Queen Victoria granted a royal charter

to the Institute of Accountants in Glasgow on july 6,
1854, thereby creating the profession of chartered
accountant (CA).

-The year 1887 saw the birth of the first national US

accounting a society. The American Association of
Public Accountant which provide a formal
certification process for accountants was he
predecessor of the present American Institute of
Certified Public Accountant (AICPA).

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 THANK YOU
THAT ALL! 
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