Golden Rules of Accounting

All the business transactions are recorded on the basis of the following rules.

S.No. Name of Account   Debit Aspect       Credit Aspect
1.                Personal          The receiver          The giver
2.                Real                What comes in       What goes out
3.                Nominal          All expenses           All incomes
                                          and losses                and gains.

Relationship between Accountancy, Accounting and Book-keeping

Book-keeping provides the basis for accounting and it is complementary to accounting process. Accounting begins where book-keeping ends. Accountancy includes accounting and book-keeping.