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Accounting is the essential term for any commerce graduate. You have to study accounting if you want to become a sound entrepreneur. You need accounting knowledge in every stage of your career. A good accountant is like a backbone of the firm. Accounting 101 is taught you in very first term of your bachelor studies. Those students who don’t like maths and economics and they want to make their future in business can choose to account as a career. Time to time accounting 101 assignments are given in colleges to students to increase their practice.

Concepts of Accounting 101?

Accounting 101 is a basic accounting. In this students study about the concepts and principal of accounting. Here I’m going to explain the concepts in accounting;

  • Equations of accounting; accounting equations play a crucial role in accounting. Whole accounting runs on these equations. Equation like; liability + shareholders equity = assets.
  • Basic principles of accounting; are those principles which are followed by the firm to maintain their financial statements. Principles are like; cost principle, the principle of conservatism and going concern. There are so many accounting principles that companies follow.
  • Concept of debit and credit; most crucial concept of accounting is debit or credit. There are two sides of ledger one is debit side, and another one is credit side. Debit appears on the left side of ledger and credit appears on the right side of the ledger. It is important to know that what should be posted on the debit side and what in credit side.
  • Balance sheet; this is the major statement of accounting which shows the profit and loss of business. Balance sheet carries two sides one is assets and liabilities, but now balance sheet is updated. Now there is a new balance sheet in students’ course. Some more essential statements of accounting are; cash flow statement and income statement.
  • Income vs. expenditure; accounting follows two different methods when recording revenue and spending. First one is cash method, in this, all the transactions are recorded when the firm receives or paid cash. Second is accrual method, in this transactions, are recorded when the income is earned, and expenditure is incurred.


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Problems faced by students in there accounting 101 assignments are;

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