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Bookkeeping Principles and Procedure:
Exchange:
Any monetary managing between two man or things is an exchange.
It might be identify with buy and moves products, receipt and installment of
money and rendering of administration by one gathering to another. A business occasion
which can be estimated regarding cash and which must be recorded in books
of record is called exchange. ? Classification: -
Exchange might be separated into two gatherings.
(1) Cash Transaction:
On the off chance that the estimation of an exchange in met is money promptly, it is called money exchange. for example
We purchase furniture for Rs. 2000/ - from Zubair and quickly pay him in real money. It is money exchange.
(2) Credit Transaction :
On the off chance that an exchange is made with the agree to make the installment in some future time, against such exchange.
Business:
Any legitimate action which is improved the situation the reason for gaining benefit is known as business. for example saving money business, a protection business, and so forth ? Proprietor: - He is proprietor of a business. He puts capital in it, gives his time and thoughtfulness regarding it. He is qualified for get the benefit or bear misfortune emerging out of it.
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