Solution:-
Every businessmen wants to know there profit and losses, how much capital invested and how much they need to pay at end of the year . For filling these requirements a businessman record all transactions and other things . The process of keeping records and analyzing of this data is known as accounting. In simple terms accounting means collecting, summarizing, analyzing and reporting in monetary terms, information about business . Accounting is the science of recording and classifying business transaction and events, primarily of a financial character, and the art of making significant summaries, analysis and interpretations of those transactions and events and communicating the results to person who must make decisions or form judgement.