Accounting at a level
So it is about time to try and say something intelligeble
about accounting. The task is not easy, since the available
material is rather an untidy collection of stamps.

There exists several acounting systems adhere to the
countries where they come from. There is Italian
accounting, English acounting, American accounting and
Danish accounting. Danish accounting is the most involved.
We are going to take a look at American accounting.

Accounting is ledger account. That means that there is a
ledger that spells:

1048573A48     1000     Assorted income    2000 USD

The first term is the serial number. That links the ledger
with any paper that might accompany the assorted income,
since the same number would be there. The second term is
the account that is going to be ledgered, in this case
account 1000, probably an income account. The third term
is the text, explaining in short what the entry is all
about. The fourth term is the amount ledgered, in this case
2000 USD credit, which is added to the saldo of the account
ledgered. And that is a ledgering then.

The account might look like:

1000      Income                 4000 USD

before the ledgering. And then

1000      Income                 6000 USD

after.

And that is accounting. Now in Denmark they have something
added which is called file. When we recieve 2000 USD in
income, obviously they end up in a bank account somewhere
or in the till. So Denmark registers "b", or "t" along with
the ledger in order to keep track of that, but it is not
really nesescary to the company, so we do not do that.

There are two calculations based on the accounts, that is
regular to accounting. They are called Status and Balance.
Balance is the profit assessment, that is Income and
Expenses, when Expenses are in debit. Status is a measure
of the companys eigencapital, and that is Capital and
Loans, when Loans are in debit.

Good luck accounting.