Essay --

1.MEANING OF FINAL ACCOUNTSFinal ciphers refers to the lowest exam statements of accounts prep atomic number 18d in order to ascertain and report the result of the financial activities of a businessAccounting for management, N.P Srinivasan & M. Sakthivel, page no.85. Trial eternal rest wheel establishes the accuracy of books of accounts. later preparing the trial balance, preparing final accounts is the next step. It includes Balance sheet, Profit and Loss account and transaction account. The Balance sheet would gives the financial position of the business, the Profit and button account gives the net gather or tone ending earned and that of Trading account gives the gross profit earned or gross redness incurred. At the end of the accounting year organization prepare final accounts to find out the financial position of the organization. i.e. Profit or Loss.2. duty ACCOUNTTrading accounting is an account prepared to ascertain the merchandise result of a business i.e. t he gross profit earned or gross loss incurred from buying and selling of goods during a particular period. The repletion of net sales total sales less returns over cost of goods change is termed as gross profit. When the cost of goods sold is more than the net sales, the distinction is termed as gross loss. The gross profit or loss is transferred to profit and loss account.Accounting for management, N.P Srinivasan & M. Sakthivel, page no.85. Form of employment a/c- employment ACCOUNT OF ____________ For the year endingDr. Cr.ParticularsAmount(Rs.)ParticularsAmount(Rs.)To Opening StockTo purchases ... ...transfer Net loss Capital a/c Dr. 4.BALANCE SHEETA balance sheet is defined as a statement worn-out upon a given date, generally at the end o f each accounting year, to placard the exact financial position of a business, setting for the various additions and liabilities of the link up at this date.On the left hand side of the balance sheet, the liabilities and capital are shown. On the right hand side, all the assets are shown .Therefore, the two sides of a balance sheet must always be equal. Otherwise, there is an error somewhere in the books of accounts. A properly drawn up balance sheet gives information relating to(a)the nature and value of asset(b)the nature and extent of liabilities(c)whether the firm is solvent and(d)whether the firm is over trading in short, it explains the financial condition of the concern.