Financial Management & Digital Accounting · Beginner level

Beginner level · Module 1 of 5 · 11 guided hours

Accounting Basics and Daily Bookkeeping

Learn the building blocks of accounting and keep accurate daily records.

Learning objectives

  • Explain the accounting equation and the five account types
  • Record transactions in a cash book
  • Organise receipts and supporting documents

Topics

  • income, expenses, assets, liabilities and equity
  • the accounting equation
  • cash book
  • receipts and vouchers
  • running balances
  • daily routines

Lessons

  1. Lesson 1 Income, Expenses, Assets and Liabilities

    Understand the five types of account and how they fit together.

    incomeexpensesassetsliabilitiesequity

  2. Lesson 2 Keeping a Cash Book

    Record every receipt and payment with a running balance you can check against cash in hand.

    cash bookreceipts and paymentsrunning balancecash count

  3. Lesson 3 Receipts, Vouchers and Filing

    Keep the documents that prove every transaction and file them so they can be found.

    source documentspayment vouchernumberingfiling

Practical activity

Record a week of transactions for a small shop in a cash book with running balances and file the supporting receipts.

Expected outcomes

  • Accurate daily records
  • Confidence with basic accounting terms

Assessment

Cash book checked for completeness, classification and a correct closing balance.

Free taster lesson Basic Accounting Principles & Bookkeeping Read a free self-study lesson on this topic in the Free Course Library.

Taught live by an instructor — online or in person. Free course lessons are for self-study and do not lead to a certificate — see registration options.