Cambridge IGCSE · 0452

Accounting • Notes

1. The Fundamentals of Accounting

• The Purpose of Accounting
• The Accounting Equation

2. Sources and Recording of Data

• Double entry & division of the ledger
• Business documents
• Books of prime entry

3. Verification of Accounting Records

• The Trial Balance
• Correction of errors
• Bank reconciliation
• Control accounts

4. Accounting Procedures

• Capital & revenue expenditure
• Accounting for depreciation
• Disposal of non-current assets
• Accruals & prepayments
• Irrecoverable debts & inventory

5. Preparation of Financial Statements

• Sole traders
• Partnerships
• Limited companies
• Clubs & societies
• Manufacturing accounts
• Incomplete records

6. Analysis and Interpretation

• Accounting ratios
• Interpreting ratios
• Inter-firm comparison
• Interested parties
• Limitations of financial statements

7. Accounting Concepts and Modern Practice

• Accounting concepts
• Ethical considerations
• Technology and sustainability