History and Development of Accounting - 2085 Words

Accounting is defined by the American Institute of Certified Public Accountants (AICPA) as the art of recording, classifying, and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least, of financial character, and interpreting the results thereof. Accounting is thousands of years old; the earliest accounting records, which date back more than 7,000 years, were found in Mesopotamia (Assyrians). The people of that time relied on primitive accounting methods to record the growth of crops and herds. Accounting evolved, improving over the years and advancing as business advanced. Early accounting records in different parts of the world Token accounting in ancient Mesopotamia The†¦show more content†¦The bulk of the documents relate to the running of a large, private estate is named after Heroninos because he was phrontistes (Koine Greek: manager) of the estate which had a complex and standarised system of accounting which was followed by all its local farm managers Each administrator on each sub-division of the estate drew up his own little accounts, for the day-to-day running of the estate, payment of the workforce, production of crops, the sale of produce, the use of animals, and general expenditure on the staff. This information was then summarized as pieces of papyrus scroll into one big yearly account for each particular sub—division of the estate. Entries were arranged by sector, with cash expenses and gains extrapolated from all the different sectors. Accounts of this kind gave the owner the opportunity to take better economic decisions because the information was purposefully selected and arranged. Simple accounting is mentioned in the Christian Bible (New Testament) in the Book of Matthew, in the Parable of the Talents. Luca Pacioli and double-entry bookkeeping Bartering was the dominant practice for traveling merchants during the Middle Ages. When medieval Europe moved to a monetary economy in the 13th century, sedentary merchants depended on bookkeeping to oversee multipleShow MoreRelatedHistory and Development of Accounting Standards Essay2637 Words   |  11 PagesAccounting has been around since the beginning of civilization.  ¡Ã‚ §Accountants participated in the development of cities, trade, and the concepts of wealth and numbers. ¡Ã‚ ¨ (Giroux) The importance of accounting cannot be overemphasized. Equally important are the standards used to guild the application of accounting practice. Without principles and standards, financial reporting would not fairly present the financial position of a company. Accounting has changed and evolved vastly over time and continuesRead MoreAYB200 report Essay1460 Words   |  6 PagesExecutive summary 1 1.0 Introduction 2 2.0 History and Status of IFRS convergence 2 3.0 The developments in the relationship between the major players in IFRS 2 3.1 International Accounting Standards Boards (IASB) 2 3.2 The IFRS Foundation 3 3.3 The US Financial Accounting Standards Board (FASB) 3 3.4 Other bodies including the US Securities and Exchange Commission (SEC) 3 3.5 The European Financial Reporting Advisory Group (EFRAG) 4 3.6 The Australian Accounting Standards Board (AASB) 4 4.0 The possibleRead MoreQuestions On Strategic Information Systems1677 Words   |  7 PagesINSTITUTE TRIMESTER 3 Table of Content Introduction: 3 History of the accounting software in Australia: 3 Market size of the accounting software: 4 Information about the Myob: 4 Value of Total size of accounting software: 4 Advantages of this accounting software used in Australia: 5 Service Gap at user forum: 5 Recommendations: 5 Conclusion: 6 References and Bibliography: 7 Appendices: 8 Introduction: According to Curtis (2015), accounting software is useful for every organisation to manage financialRead MoreAcc 541 Accounting Standards Board Paper1116 Words   |  5 PagesAccounting Standards Boards Leslie Brian ACC/541 November 14, 2011 Delphine Agnor Wolsker Accounting Standards Boards The field of accounting is constantly evolving. 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Following this saying, the essay aims to critically evaluate DR Scott’s claim that â€Å"Disputes about the appropriateness of accounting techniques should not be resolved by appeal to practice or tradition†. F or our case, I will shed light on the field of accounting and why is it imperative to have a disciplinaryRead MoreIt has been said that pre-numerical counting systems pre-dated the written language. Business1500 Words   |  6 PagesIt has been said that pre-numerical counting systems pre-dated the written language. Business accounting is rooted in the organization of monetary claims throughout the history of the Western civilization, developing even before the ancient accountants could note the mathematical entries. Beginning in Mesopotamia around 3500 B.C, and developing throughout the 14th century in Europe, accounting has become one of the largest advancements in the Western world. This long standing form of collaboratingRead MoreAccounting And Computer : The Summa By Lucia Pacioli Essay1571 Words   |  7 PagesAbstract Nowadays, accounting and computers are interrelated with each other. Almost every business or people depend on computer for their day to day work, for many of us it has also become a part of our life. But on those days when computer were not in used for doing the business transaction or recording the financial notes, it was really hard to track assets and liabilities and to find out the actual profit and loss. Until 1974, the pattern of doing accounting was same as ancient Egyptians hadRead MoreEssay on Annotated Bibliography1285 Words   |  6 Pages1997, ‘Accounting and the Construction of the Governable Person’, Accounting, Organizations and Society, vol.12, n.03, pp235-265. 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