ACCOUNTING FOR KIDS: CHILDREN

By Vipin Kumar Verma

Book Overview

This book provides the basic knowledge of accounting world terms to the Kids. A beautiful conversation between the author Vipin Kumar Verma and his beautiful, curious little sister, age 8 years, on the basic concepts of accounting, which will help the children understand the children the basic ACCOUNTING TERMS, like capital, assets, debtors, etc. What is the owner? What is Profit? What is a loss? CONTENT Day 1: Capital, Business, Profit, Loss, Break Even Point Day 2: Goods, Types of Goods, Opening & Closing Stock Day 3: Cash Flows Day 4: B2B and B2C Day 5: Cost, Calculation of the Cost Day 6: Currency Day 7:Calendar Year, Financial Year, Financial Information Day 8: Assessment Year, Tax Day 9: Assets and Expenses Day 10: Debtors and Investment Day 11: Liability, Creditors, Loan and Debt Day 12: Accounting Equation: "Assets = Liabilities + Capital" Day 13: Profit v/s Gain Day 14: Bad Debt Day 15: Calculation of the Sale Price Day 16: Types of Bank Accounts, Interest Day 17:Insurance and Insurance Premium Day 18:Discount Day 19: Debit and Credit Card Day 20 :Profit and Loss A/c and Balance Sheet Last Page: Puzzles (21) Last Page: ACCOUNTING ABCD A for Assets B for Bank C for Capital D for Debtor 21 Puzzles in last of Book For KIds Day 1 Vipin: Hi Nancy.... How are you, little sister? Nancy: I am good brother. Vipin: How was your day at school? Nancy: It was fantastic. I have a question. Vipin: Hmmm.... Nancy: What is the capital? Vipin: Washington is the capital of America. Nancy: No...., I answered the same, but my friend''s dad said it''s the wrong answer. What does the word "capital" mean in business? Vipin: Ok... Capital is the investment made by the person in his "own" business. Capital is not the only cash, it also includes other things like furniture, cars, machinery, etc. Nancy: Dear brother, does dad get the money from the office that is capital? Vipin: No, dear little sister. Nancy: But why, bro... Vipin: Because this is our sweet home, not a business. Nancy: What is the business? Vipin: Business is an activity that involves buying and selling things to earn a profit. Nancy: and our sweet home is not involved in any profit making activities. Vipin: Very good, Nancy. One more thing little angel. The person who introduced the capital into his business is known as the owner. Nancy: hmm..., ok, what is the profit? Vipin: Okay, understand with an example, you brought one candy for 10 and sold it for 12 in the market. How much extra money was made by the sale? Vipin: Okay, now answer my one question. What if you sold the candy for 10? Vipin: Very good, you have a 100% correct answer, Nancy. This situation of "No Profit and No Loss" in the business is known as the Break Even Point. The Break Even Point is a point where "the sales = the cost". I have an exercise for you, dear. Nancy: yes please Vipin: The sale price of a doll is 110, but the cost is 90. What is the profit? Day 9 Vipin: A for ..... Nancy: A for apple Vipin: Do you like apples? You know, an apple a day keeps a doctor Nancy: Yes, I love Apple very much, and Apple is healthy for me. Vipin: A for assets. Nancy: Assets? What does it mean? Vipin: Assets mean all the property of the business like cash, bank balance, furniture, machinery, etc. Nancy: Like pens, pencils Vipin: No, Nancy, pens and pencils are not assets, they are expenses. The main difference between assets and expenses is the life of the item. Usually, the life of the assets is more than one year, and the life of the expenses is less than one. Nancy: An example, please...

• Format: Paperback
• Language: English
• ISBN: B0CXPZMKN3
• ISBN13: 9798878456807
• Release Date: March 2024
• Publisher: Independently published
• Length: 156 Pages
• Dimensions: 9.0" x 0.4" x 6.0"