Accounting enters the modern world. History Essay

Accounting Essay
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The article titled The Earliest Known Treatise on Double Entry Bookkeeping by Marino de Raphaeli sheds light on the advantages of bookkeeping, which is all about recording financial transactions. One of the major advantages of bookkeeping is that it helps create, record and maintain accurate financial transactions. The bookkeeping system ranges from the basic level, such as checking the entries of users to viewing deposits and finances, to the advanced or complex system, such as journals and ledgers used by multinational companies and large corporations (Sangster, 2015). For a non-accountant, this article is useful since it contains useful information about how bookkeeping makes the financial transactions easier and better. Whether someone is running an established company or owns a startup, he always has to pay tax and needs to understand the tax requirements, as well as has to keep an eye on his investments and profits. If the business is of a complex nature, then the individual can opt for bookkeeping in order to maintain the record of all financial transactions done on behalf of his company. How a company’s bookkeeping records such as inventory transactions can help achieve success has also been told in this particular source. There are varying types of financial transactions, and a businessman or company owner is always required to know about those transactions, whether he has studied accounting in the past or not. If he is serious about running the business and wants to achieve success, then he has to gain knowledge about transactions related to revenues, sales, tax payments, interest rates, payrolls, and other expenses, as well as investments and loans. Different technical and non-technical topics related to bookkeeping have been discussed in details in this particular source.
In accounting, double-entry bookkeeping is a complex system of bookkeeping in which all the entries to particular account require corresponding and opposite entries to an entirely different account. For instance, if a businessperson, in the initial weeks of his business, invests $100 per week, then it is essential for him to generate up to $110 revenues. The first condition will be called investment and the second will be called profit. The article titled The Genesis of Double Entry Bookkeeping is beneficial for non-accountants since it shares details of how the double-entry has two equal and corresponding sides. Both of these sides are known as credit and debit (Sangster, 2016). The left-hand side is known as debt, and the right-hand side is known as credit. If a balance is not maintained between their values, then the survival of a business may become impossible. Any non-accountant who is interested in learning more about credit and debt can read this article since some examples have been given to make things clear and understandable. It should be noticed that there is no room for flaws or errors when it comes to creating a balance between debt and credit, or investments and profits. If some flaws exist, then the businessman may end up losing some money, and the reputation of the brand is likely to be impacted, leading the customers to turn to alternatives. However, in some situations,...