History - 1 The History of Accounting

History - 2 Why study history of accounting?  Understanding of the importance of accounting to society throughout history  Awareness of the essential functions (roles) performed by accounting allows such understanding  Exploration of historical developments may lead to better predictions of future

History - 3 What is Accounting?

History - 4 NATURE OF ACCOUNTING

History - 5 Accounting Environment

History - 6 “Economic activity is carried on by human beings interacting with their environment. This type of interaction of human effort (labor) and natural resources takes place through the medium of entities which are used as organizing units for the purpose of producing goods and services. In this process the existing resources must be allocated by some means among the available alternatives. To make these allocations properly, predictions as to the outcome of the available alternatives are essential. Results of the past and estimates of the future are used to form these predictions. These results, estimates and predictions are couched in part in quantitative terms so that comparisons and evaluations can be facilitated. Accounting is one form of quantitative expression that is widely used.” Maurice Moonitz, The Basic Postulates of Accounting, Accounting Research Study No. 1. AICPA, 1961.

History - 7 Functions of Accounting

History - 8 Where do we begin?  Where does the history of accounting begin?