Introduction to Financial Accounting

INTRODUCTION TO
FINANCIAL ACCOUNTING

Table of Contents
INTRODUCTION...........................................................................................................................3
1. final accounts of Wave ...........................................................................................................3
2. Explaining usefulness of an information facilitated on the revenue in respect of conceptual
framework.................................................................................................................................12
3. Presenting concept of consistency in determining an application of concept by the ITV to
report of an assets......................................................................................................................14
CONCLUSION .............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
Financial accounting is referred as an area of an accounting that focuses on keeping the
track of the financial transaction of the firm. It is counted as the way of reporting the business
activity and the financial information to all the stakeholders. By making use of the standardised
guidelines, transactions are been recorded, presented an summarised in the financial report like
income statement and the balance sheet. The present study is based on preparing the financial
statements of Wave and making an analysis of the revenue of ITV. Furthermore, it involves
analysing an application of accounting concept as consistency principle in framing of the final
report of ITV and in its reporting.
1. final accounts of Wave
Journal for wave
Sr no. Particulars Debit Credit
02/12/19 Purchase A/c Dr. 5000
To Shyam A/c 5000
04/12/19 Purchase A/c Dr. 15000
To ram A/c 15000
05/12/19 Purchase A/c Dr. 7000
To John A/c 7000
06/12/19 Purchase A/c Dr. 25000
To ABC A/c 25000
07/12/19 Purchase A/c Dr. 12000
To XYZ A/c 12000
09/12/19 Rent a/c Dr. 1000
To cash A/c 1000
10/12/19 Insurance Exp a/c Dr. 800
To cash A/c 800
11/12/19 Electricity exp a/c Dr. 1500
To cash A/c 1500
12/12/19 John A/c Dr. 5000

To Purchase return A/c 5000
12/12/19 ABC A/c Dr. 15000
To Purchase return A/c 15000
13/12/19 XYZ A/c Dr. 12000
To Discount Received
A/c Dr. 600
To cash A/c 11400
14/12/19 Shyam A/c Dr. 5000
To cash A/c 5000
15/12/19 Vijay A/c Dr 21000
To sales A/c 21000
16/12/19 James A/c 32000
To sales A/c 32000
17/12/19 Roy A/c Dr. 11000
To sales A/c 11000
18/12/19 Jacob A/c Dr. 42000
To sales A/c 42000
19/12/19 Mark A/c Dr. 10800
To sales A/c 10800
20/12/19 Cash A/c Dr. 50000
To sales A/c 50000
21/12/19 Cash A/c Dr. 25000
To sales A/c 25000
22/12/19 Cash A/c Dr. 35000
To sales A/c 35000
23/12/19 Sales Return A/c Dr. 7000
To Roy A/c 7000
24/12/19 Sales Return A/c Dr. 28000
To Jacob A/c 28000
25/12/19 Cash A/c Dr. 10584
Discount Allowed A/c 216