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March 23, 2018 / Uncategorized

History of Modern Accounting

Although the forerunners of basic modern accounting can be systems that existed since the beginning of commerce, accounting, as we know, started in the Italian Renaissance and developed seriously during the Industrial Revolution. In fact, although scientists could theoretically argue the reasons for the development of written languages, there is little known pre-Renaissance accounting history, although archeology and the related sciences reveal evidence of systems that well precede this time. 19659002] The religious and secular property of urban states had to be recorded to allow any organization, so it was born for literary purposes for literary purposes. However, when reference is made to modern accounting history, we begin with a double-entry accounting procedure for the book-keeping procedures of Italian renaissance merchants and gave them the organization and the light they needed for the world of commerce. By 1494, accounting procedures were funded by Luca Bartolomeo de Pacioli (Paciolo), who is therefore the father of modern accounting

. At the time of the Industrial Revolution, accounting was even more established and the accounting history of this period During the Industrial Revolution, the pioneer of bookkeeping was Josiah Wedgwood's potter, whose family continues to dominate the luxury fine porcelain and crystal market. Wedgwood, as he was in line with the bottom line, looked like the quality of his cellars, demanded that he keep proper records to be able to easily detect and remedy the minor inefficiencies and costs, and to deal with such potential catastrophes quickly the embezzlement he had once discovered reviewing the meticulous financial records the company was famous about. Wedgwood is as much part of accounting history as cost-effectiveness cost-effectiveness methods due to production history that were adopted in other age-old craftsmen.

The railways were also dependent on the proper accounting techniques, they were able to fulfill their role in the transport life of the industrial revolution. Given the intrinsic nature of railroad armaments in the United States during the expansion of the railways there, it is likely that the history of accounting scandals began with the methods used by robbers, investors, customers and regulators.

In the 19th century, At the beginning of the 20th century, the "educated", the predecessors of today's skilled and trained external accountants appeared in London and a similar industry could emerge in the industrial development of America. Often bankruptcy is the reason why companies have turned to pioneers of independent accounting history.

And in 1845, when William Deloite opened his London accounting firm, the modern external accounting and auditing profession was clearly part of the British business process. At that time, the world was driven by progress and transparency. The company is alive as Wedgwood, and today Deloitte is a trademark of the Deloitte Touche Tohmatsu international company (Deloitte Touche Tohmatsu), which is the first largest company in accounting history.

Source by sbobet

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