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Introduction

Accounts are financial records that are used to track the income and use of cash in a business. Accountancy are the avenues that show the total value of a business after balancing the income versus expenditure in a business. However, accountancy are also important for the management of personal finances. accountancy are the baseline parameters that are used to test change either positive for a profit made or negative for a loss made in a business. It has been important to include accountancy education in the early stages of upper secondary class 10 physical and online tuitions class. This is to prepare the students for later accounts-business ventures in a business field later in life.

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Class 10 Accounts

Some of the accounts units in class 10 accounts are mandatory for the students while others can be offered as additional accountancy course units to those willing to pursue a financial career later in life. It is from accountancy that the very basic entries financial records on income and expenditure are recorded into accountancy journal entries and later into accountancy ledger books where balancing is done on the accountancy income and accountancy expenditure. This balance is very important for accountancy because it is a mismatch into these accountancy records balance that shows that the accountancy are alarming. These alarming accounts mean denote either a loss of cash in accountancy that is unaccounted or for otherwise reasons.

Types of Accounts in Business

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There are different types of business accounts. These accounts are:

(a) Checking Accounts:

These accounts are the backbone of a business. It is from these accounts that payroll is attached and other bills accounts are deducted from. Deposit accounts are also attached to this main business accounts and the main determinant that is considered to create a relation to a bank. This means that these accounts when properly handled can increase the accounts chances of business in receiving funding from a bank for business accounts expansion.

(b) Merchant Accounts:

These accounts are targeted for business which receive payment and cash income through credit cards accounts. This is mainly ideal for live purchases and business which receive payment through liquid live payments accounts. Merchant accountancy are very ideally for business because these accounts enable payment even from PayPal and even other live payment methods.

(c) Accounts Payable:

These accounts represent the money that the business owes to creditors. These accounts are different from checking accounts in that they represent long term relationship between the business and a lending third party that the business owes money. Nonetheless, though these accounts are different from checking accounts, any payments done to the third parties who credits the business is done form checking accounts.

(d) Receivable Accounts:

Opposite of the payable accounts, they are accounts that receive payments done from debtors. It is good to understand that receivable accounts are not separate entities that receive money from checking accounts but as the same as payable accounts, receivable accounts receive payment records but the cash deposits are done to the checking accounts.

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Class 10 IGCSE accounts

The Cambridge class 10 IGCSE accounting introduces learners to a variety of the important fundamental concepts and theories of accounts. These learners are exposed to the skills of reporting, recording, analyzing and even presenting accounts entries for better understanding. These accounts knowledge is crucial for their understanding of how businesses thrive and at least make them equipped for accounts knowledge need that may arise within personal entries in the future or even as preparation for further studies on accounts in the future.

Accounting policies are the specific standards and recommendations or accounting choices that a business settles as its system that should be used to record and analyze their accounts. It is the specifications laid down procedures of the way their finances should be accounted for. Accounting principles are the standard set guidelines that are given by the board of accounting management in a country specifically mentioning the standard guidelines and a company should follow in reporting their financial statements and records. They are predetermined by the board and need compliance from businesses.

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Accounting principles

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: These accounts principles require to keep records of revenue collection parallel to records on expenses incurred at the same time for a business. This is the basic fundamental part of Accounts. This is because without accounting for the expenditure arising from the income that serves the checking accounts, then a balance is not cut in records and accounts will display errors. Therefore this principle is considered as the basic requirement for every revenue and expense in business to march in records showing the clear income and ways through which expenditure has been achieved over time.

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Business entity:

This accounts principle states that all recorded financial transactions should be the only ones which have a direct relation to the business and that no financial transaction should record belonging to other business or owners. This concert simply means that if an event is not related to the business it should not be recorded. Even if the financial event relates to the employee of the business personally and which has no relation to the business in any way but a personal event, it should not appear in the financial books of records.

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Consistency:

This accounts principle requires a company to stick to a single chosen principle and methodology of reporting its financial records until a better method comes along. This means that it is not advisable to keep on changing the financial reporting method of a company because it makes the long term track of the financial record of the company difficult to tell.

Duality:

This is a double-entry concept in business accounts where every financial transaction should be recorded in two different sections. This concept is widely known to arise from the accounting equation which states that assets = liabilities + Equity. This is evident from the balancing sheets where the assets should be equal to the total liabilities recorded added together with equity value in the business.

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Going concern:

This is the promise that the business will remain operational in the foreseeable future against the foreseeable odds like depreciation and competition.

Historic cost:

This accounts principle states that all assets and liabilities should be recorded in the financial books of records in their historical original values of purchase. This means that even if the value of the assets may have appreciated in the current season, their value should always be recorded in their original exact cost of purchases. This helps to balance the sheets because the new appreciation is not accounted for not unless the assets are set to be sold to generate income.

Materiality:

This is an accounts principle that requires that every financial transaction be recorded immediately after its occurrence. This is to give an easy time for any person reading the financial records in the future to be in a position of following and tracking each of the transactions to understand the income and purchase chain of the business.

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Money measurement:

this concept explains that only financial transactions that have monetary value can be recorded in the financial records. This means that all financial transactions and events should be reduced to monetary values and in a case that these events cannot be measured to have a monetary value then they are not recorded in the financial accounts books of records.

Prudence:

This accounts principle requires accountants to record liabilities and expenses as soon as they occur but income to be recorded only when they are realized. This is to make sure that not even a single expense or liability is left on the mercies of the memory of the accountant

Realization:

States that profit is only realized when goods and services are delivered to the customer and not when the customer orders the business products or pays for them.

Accounting policies

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Comparability

: This is a quality which financial statements possess when accounting standards and policies have been consistently applied over time and from region to region. This allows for comparison to be made from statements of the last season to the current season to denote progress or loss.

Relevance:

This is the ability of financial information to influence the decision of any person auditing them because of the content and timeliness which can impact the overall decision making of the business administration.

Reliability:

the level of trustworthiness of the financial information records which can be tested over and over again and prove the same results.

Understandability:

This is the ability of the financial records to be comprehended by a reader who needs not to have a high level of business knowledge to fully comprehend the information.

Conclusion

The discussed coverage of class 10 accounts makes up a part of their examinable areas of studies. This makes class 10 students in need of constant revision to be promised a high score pass in class workout.