People of this stage, kept their accounting marking ticks on the walls and making rope-knots. This stage started just with the beginning of the social life of human beings. ![]() In this way, the accounting concept emerged. They kept accounts of their collected fruits, hunted animals and lent goods to others by marking ticks on the trees, on the walls of the caves of mountains and stones, or making holes or symbols as per their need. When people did not know how to build a house, they used to live in caves, mountains, and jungles and earned their livelihood by collecting fruits and hunting animals. The gradual evolution of accounting through these four stages is discussed below in brief The emergent stage of Accounting emerged keeping pace with the following chronological stages of the history of human civilization. Any reliable source regarding the exact starting of accounting practice is yet to be ascertained.īut it can roughly be said that Accounting practice started when the exchange of goods or services, was felt necessary.īut the Accounting system of that time was not at all developed and disciplined as of today. This stage covers the period from the beginning of human civilization to 1494. The history of the gradual development of Accounting through these four stages is discussed below: The Emergent Stage (Primitive to 1494) Emergent stage (from a primitive age to 1494 AD),.For the necessity of its application Accounting has gradually been modified and further developed.īased on the data received from the history of evolution and -the features of gradual development, history of Accounting can chronologically be classified into 4 stages, e.g. Since the beginning of human civilization accounting practice had been going on and its forward march will continue. ![]() It has reached the present stage through an evolutionary process of thousands of years. Modem accounting is not an overnight result of a sudden change in any event. Through the historical process, the primitive inconsistent and confusing system of keeping accounts has reached a disciplined system of accounting.Īccounting is going forward keeping pace with the technological advancement of the dynamic social system. As businesses became more complex, the need for more astute review and interpretation of financial information was met with the development of a new professionpublic accounting.īased on the data received from the history of evolution and the features of gradual development, history of Accounting can chronologically be classified into 4 stages emergent stage, preanalytic stage, development i.e. When double-entry accounting is used, the balance sheet identifies the resources controlled by the entity and those parties claiming those assets.Įarly histories of business identify the bookkeeper as a valuable staff member.
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