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Bookkeeping is the recording, storing and retrieving of the financial transactions of the business on daily basis and it is part of the process of accounting in business. It includes all the transactions, operations and other financial activities of the organization. Transactions include sales and purchases, Receipts and payments by individuals and corporate.
Important tasks of bookkeeping
Accounting means the recording of financial transactions of a business. These transactions are classified, recorded and summed up to give useful information. Thus, the accounting process starts with the recording of business transactions in financial terms, in the primary books of accounts. For the recording of financial transactions, it is important that these transactions are evidenced by specified source documents such as cash memos, sales bills, purchase bills, receipts of cheque issued, salary slips and etc.
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