Accounting is the mechanism used to record activities and transactions that occur within a business..

In its simplest
terms, Accounting is the "language of business." However, in order to have an understandable record, a standard set
of rules for accounting within the U.S. has been established. These rules are called the Generally Accepted
Accounting Principles (GAAP), and all U.S. businesses are expected to follow them.
The first general rule of accounting is that every transaction is recorded. It has been said that businesses that do not
record transactions, or incorrectly record transactions, are committing fraud, although this is not necessarily the
case. Fraud is part of a much broader area called material misstatement which also can include error. An error is not
necessarily fraud under the law. While there are exceptions to this rule, the guidance for applying those exceptions
is specifically defined by GAAP, and is applicable to all businesses.
The second general rule of accounting is that transactions are recorded using what is called a "double-entry"
accounting method. Originally developed in Italy in the 1400s, double-entry means that for a complete record of a
transaction, two entries are made. For example, if you have $5 in cash, and want to buy some gasoline for your lawn
mower, you take your portable gas can and your money to the gas station and exchange $5 in cash for $5 in gas. This
transaction is recorded as an increase in the asset "gas" for $5, and a corresponding reduction in the asset "cash" for
$5. In this example, one transaction contained two entries. This takes a little time to get used to, but it is a critical
concept in basic accounting. Double entry is tied to the concept of Debits and Credits, which you will learn about in
the next section. The act of recording transactions is commonly referred to as making journal entries. In a few more
paragraphs, we'll discuss what a journal entry looks like.
All the accounting heads used in an organisational accounting system are divided into three
kinds/types.

AIMS AND OBJECTIVE

Aims at creating an integrated knowledge base and management system of port performance to serve the
industrys stakeholders in improving the sustainability and competitiveness of the European Port System.
To that end, different domains will be linked such as:
Market trends and structure,
Socio-economic performance,
Environment and occupational health and safety and security,
Logistic chain and operational efficiency,
Governance and finance and user perceptions of quality.

1.To maintain the cash accounts through the Cash Book and to find out the Cash balance on any particular
day.
2.To maintain various other Journals for recording day-to day non cash transactions.
3.To maintain various Ledger Accounts to find out the exact amounts of incomes and expenses or gain and
losses or receivables and payables.
4.To furnish information regarding Purchases and Sales, both Cash and Credit.
5.To find out the net profit or net loss or surplus or deficit for any particular period.
6.To find out the total capital on a particular date.

NEEDS AND IMPORTANCE

We live in a world where people need things from the day they are born to the day that they die. Some of
these "need" are physical needs, a need for goods of various sorts, food, clothing, shelter, and so on. Some
of them are emotional "wants", a need for education, entertainment, or recreation. In satisfying such
needs businessmen perform useful services to their fellow humans. In return they expect to earn a
responsible reward for their efforts in the form of profits.
"Cut your coat according to your cloth" - so goes the saying. Even a king becomes a pauper, if he fails to
exercise economy in has expenditures. In other words, every individual will have to plan his expenditure
according to his income. Obviously the question arises - why is this planning necessary? The need for such
planning arises as our wants or desires on needs for goods and services are unlimited, while the means, i.e.
the income with which to buy such goods and services are limited. Where, however, goods and services
are available free of cost, i.e. gifts of nature, such as air, water (not in cities) etc. there is no question of
economy. But the necessity of economy is undeniable, where goods or services are not available free of
cost and their supply is limited.
A proper ad fair planning of expenditures helps us to ensure proper use of our income. Of course it is true
that the quantity of goods or money cannot be increase by making a proper planning. But certainly we can
ensure most economic use of goods or money at our disposal.
Most of us do maintain some kind of a written record of our income and expenditure. The idea behind
maintaining such record is to know the correct position regarding income and expenditure. The need for
keeping a record of income and expenditure in a clear and systematic manner has given rise to the subject
of "bookkeeping".
Some individuals do not recognize the necessity of keeping accounts of there day to day expenditure, since
they spend their own income and are not required to account for it to any body. But such an idea is wrong.
A family, however, small it may be, must exercise proper control over its expenditures as to ensure future
security. A family has two-fold responsibilities - one is that of ensuring all round welfare of the family and
the other is the social responsibility. Needless to say, money is the most essential pre-request for ensuring
peace and happiness of a family, which each and every member desires. The quantum of money must be
adequate in relation to the needs. But mere adequacy of money will not do; one has to take care of its
proper utilization. For this it would be necessary to exercise economy and maintain proper books of
accounts. On the other hand each and every family must save a portion of its income for future
contingencies. It is possible to increase the amount of savings through proper management and effective
control of the family expenses. Through such saving the family helps materializing the economic planning
of the country.
It is all the more necessary for an organization or a concern to keep proper accounts. At the end of the year
the true result of the economic activities of a concern must be made available otherwise it will not be
possible to run the concern. In case of a business concern the profit or loss at the end of a year must be
ascertained, because, the amount of profit must be adequate in relation to that of investment made in the
business. If it is not so or if there is a loss, it is an indication of some defects existing somewhere in the
management of the business. All such defects need to be detected and analyzed and appropriate measures
taken for their rectification. But it is only possible, if proper books of accounts are maintained in the
business concern. So, the importance of bookkeeping to a business is the same as that of fresh air to a
man to exist. Without bookkeeping records a business would meet death, through not instantly, but in a
short time.
Moreover, if proper books of accounts are not kept in a business, the amount of profit cannot be
ascertained and it will not be possible to distribute the profit among the owners of the business. The
income tax dues to the government cannot also be paid. In the absence of books of accounts misuse or
defalcation of money will remain undetected. The owner and other parties interested will not be able to
have any information about the condition of the business. For the same reason in the case of non-trading
concerns like schools, clubs, colleges, universities, hospitals etc. the need for accounting is universally
recognized.
Thus we see that the necessity of keeping accounts is not only confined to business concerns but it is also
useful for all classes and grades of people and organizations.

CONCLUSTION
Banks provide security and convenience for managing your money and sometimes
allow you to make money by earning interest. Convenience and fees are two of the
most important things to consider when choosing a bank.
Writing and depositing checks are perhaps the most fundamental ways to move
money in and out of a checking account, but advancements in technology have
added ATM and debit card transactions, ACH transfers, online bill pay and mobile
transfers to the mix.
All banks have rules about how long it takes to access your deposits, how many debit
card transactions you're allowed in a day, and how much cash you can withdraw
from an ATM. Access to the balance in your checking account can also be limited by
businesses such as gas stations and hotels that place holds on your funds when you
pay with a debit card.