BASIC COMMERCE

 Trading means mere buying and selling of goods. Trading account is prepared to know the trading result during an accounting period. The trading result may be either gross profit or gross loss. It is the difference between sales and cost of good sold. If the sales exceed the cost of good solds, the difference is gross profit. On the other hand, if the cost of good sold exceeds the sales, the difference is gross loss. 

  A computerised accounting system is  an accounting information system that processes the financial transactions and events as  per Generally Accepted Accounting Principles (GAAP) to produce reports as per user requirements. ... First, it has to work under a set of well-defined concepts called accounting principles.