Functional Stuff

Here you can find all Functional Stuff

Let’s start with Accounting!

The 3 Financial Statements
– Cash Flow
– Balance Sheet
– Income Statement or Profit and Loss

Balance sheet summarises Assets and Liabilities
Income Statement the Sales Revenue and Expenses for a Period
Cash Flow Statement shows the Cash Flow

All the above help us to know the financial condition of a business!

Sample Income Statement

Sales Revenue Rs 10,000

COGS Expense (5000)
G&A Expense (1000)
Depreciation Expense (100)

Net Income 3900

Golden Rules

Real Account

  • Debit what comes in
    • Credit what goes out

Nominal Account

  • Debit all expenses and losses
    • Credit all income and gain