Question

Write the advantages and disadvantages of book-keeping.

Answer 1

Book-keeping Advantages	Book-keeping Disadvantages
1. It provide full information about all	It given only monetary transaction information.
2. It is return on capital employed.	It is return on investment
3. It helps to know the true financial position of business.	The recordings do not give exact information and timely information.
4. It helps to know the progress of business from year to year.	Final accounts prepared under book-keeping do not provide timely information
5.It helps to know from whose money due and to whom due.	With the help of only book- keeping management can't take decision and correct action cannot be possible.
6. It keep control over the properties and activities of business.	Book-keeping depends on personal judgment.