DISTINCTION BETWEEN BOOKKEEPING AND ACCOUNTS

Bookkeeping is the record making   phase of accounting. It is mainly concerned with recording of financial data relating of business operators in  a significant and orderly manner. Thus, a book-keeper


May be reportable for keeping all the records of business or only of a minor segment

Performs work of a clerical nature which  are  increasingly being accomplished through the use of mechanical and electronic devices.

Need only basic education and little experienced to perform his duties. On  the other hand, accounting is primarily concerned with designing the  system for recording, classifying and summarizing  the recorded data and interpreting them for internal  and  external users. Thus accountants  

Direct  and  review the works of the book-keepers,

Design the accounting system to be used in the business

Interpret financial information

Are required to have more analytical skills than what is required of bookkeepers

Prepare financial accounts of a business. 

Perform income   take work

Make financial forecast and prepare budgets

Related Posts: ACCOUNTING

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