Definition of Accountancy-
Accounting, as the name itself suggests, refers to maintaining a document of diverse economic transactions which might be associated with an enterprise. It additionally consists of numerous different strategies which include summarizing, analyzing, and reporting those transactions to oversight agencies, regulators, and tax series entities. It explains how an enterprise company records, organizes, and reviews those transactions to regulators and different parties.
It allows the translation of running of enterprise intangible reviews for the technique of monitoring assets, liabilities, expenses, earnings, and equity. A basic understanding of accounting is vital to apprehend the economic phrases and to take part inside the enterprise world. Everyone makes use of accounting in their manner as people may also use accounting to preserve their non-public budget, reconcile their month-to-month credits, and stabilize their checkbooks for destiny consistency. An enterprise entity may also use accounting methodologies to investigate its earnings and rate objects and to decide its economic function and overall performance at some point of the period/s. Although the scope and techniques of accounting may also fluctuate from entity to entity.
Accountancy as a subject is very interesting, if only tricky at times. Knowing this subject thoroughly has a lot of future benefits like:
- Having a better idea about saving roles
- Controlling debts
- Knowing profitability, etc.
Every time someone sits down and thinks about buying, selling, or doing something with money, they are putting their accounting skills to use. It not only has academic importance but is also useful in our day-to-day lives.
How to study Accountancy?
Without wasting any time, let us quickly take a look at some tips on how to study accountancy interestingly so that one can enjoy the subject and learn it for life.
- Making your fundamentals strong: During the construction of a building, before adding the floors to it, what does one work on? Yes, first and foremost, the foundation is laid to make it strong enough to carry the different floors. A similar logic can be applied while learning to account. If one has to become a master in accounting, the fundamentals must be strengthened first, which includes all the generally accepted accounting principles, how the debit-credit rule should be applied, and so on. These are a few key elements to have a successful career in accounting. It can also be achieved by referring to Class 11 DK Solutions for Accountancy, which will further help in clarifying the concepts by providing a step-by-step solution to every problem. Every new concept learned revolves around these basics only:
- Matching concept
- Cost Concept
- Money measurement
- Business Entity
- Learn through real-life examples: Next is to connect the business transactions with some everyday life events for an easy understanding of concepts. A practical exposure like this aids in getting a better idea of real-life scenarios.
- Understand the logic and don’t mug up: Do you learn all the entries by heart and write it as it is in the paper during the exams. That is the wrong way of doing it. Understand why the closing stock is presented on the print side of the trading account (to show true gross profit, it is necessary to take into consideration the unsold stock) and on the asset side of the balance sheet instead of the liabilities side (since it is unsold, it is treated as an asset). Learn and understand the logic behind it.
- Practice, practice, and more practice: If you are still not thorough with the concepts or are not clear about where to post what, try solving as many questions as you can. Even while solving:
- Read the questions.
- Check the adjustments.
- Pass entries systematically.
- Check for the mistakes and learn from them.
- First theory, then problem-solving: Learn a concept first and then immediately solve a problem to grasp it in a better manner. For example, money measurement; understanding and learning the concept, and then solving the questions related to it.
- Make notes for revision: Make it a habit to write down important points in a book, copy, or paper. You need not write the whole chapter; just the main points which you feel that you might forget and just the significant ones.
- Analyze your arithmetical accuracy: When it comes to accounting, along with the concept, another important thing that matters is arithmetical accuracy, which will come only and only from practicing regularly. Try to avoid using mobile phones or calculators.
- Focus on the presentation: While solving a problem, practice it systematically. Emphasize equally on the various formats. Presenting entries in the right format is equally important.
- Study in a group: Last but not the least, try studying in a group. Have a healthy discussion, challenge each other, take help in concepts that you are weak at, and teach others in the part you are strong at. This will help you to analyze yourself in a better way.
Some additional useful tips to ace the subject of accountancy:
- Get the notes sorted out somehow, either by Xeroxing someone else’s notes or finding the best from the internet.
- Keep your notes ready. Every topic should be available as and when you require it.
- Make two-page summary notes for all the lessons; they should round up all the main concepts in just under a few minutes
- Study for at least 14 hours a day.
- Stay confident and calm.
- Watch videos on the internet and learn if you do not understand something.
- Ask your friends for notes and get your doubts solved.
By following all the steps mentioned above, a student can improve his/her score in the accounts. It is all about putting in all your efforts and hoping for the best, because if someone does their best, then there is no stopping from getting a good score even in the toughest of subjects. One must also be willing to have the patience and the willpower to work hard and benefit from the fruits reaped from it.