Accounting

Let's start with the definition of Accounting and then the history.

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Accounting

- referred to as the language of the business. (Everything related to business involve accounting.)
- defined as an information system and the basis of all decision making. (It measures, processes and communicates information, which are financial in nature.)
-the process of identifying, measuring and communicating economic information. (AAA)
- an old discipline that dates back to 1400 in Italy.

Fra Luca Bartolomeo de Pacioli

- Father of Accounting
- developed the field of accounting
- an Italian mathematician, scholar and philosopher.
- first described the system of double-entry bookkeeping. (which are the debit and credit in journal and ledger)

Summa de Arithmetica, Geometria, Proportioni et Proporionalita

- published in 1494 by Luca Pacioli that contained descriptions of the practice of accounting, summary of Renaissance mathematics, practical arithmetic, basic algebra, basic geometry and accounting.

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Credits to Investopedia and the book ABM 1 of Solita Frias, CPA

Did you know?
Fra Luca Pacioli was a close friend of Leonardo da Vinci