Bookkeeping Services is an art of keeping a track of Financial transaction of a company. This service actually belongs to the accounting part of the firm. When a firm is no longer interested to keep inhouse track of transaction likesales,purchase, receipts and payments then a bookkeeping service provider is hired by the company. Bookkeeping can be done by various methods out of which it is mainly divided into two types: Single Entry and Double Entry. Anything which involves recording transaction for any third party can be termed as bookkeeping service.

Initially bookkeeping was termed as “Waste Book”. First coined by colonial America, waste book was used for day to day basic expenditures. Slowly and gradually it evolved and big organization started using waste book for their statements. In sequence records were kept and used for a very short duration. After this these records were shifted to account ledger in order to make sure accounts are balanced and a permanent journal was created. After the accomplishment of journal, waste book was of no use. That’s how it was named as waste book initially.

In the process of bookkeeping every time a transaction takes place a document is produced which can be single entry system or multi entry system. In single entry system each transaction is recorded only one time in journal where as in multi entry system there are details available of multiple source documents like invoices or receipts or cheques etc. into multi-column journals. These generals are also termed as books of first entry or day books. Eventually every journal is evaluated to provide description of that particular time. After this part they are transferred to their appropriate accounts in ledger or account book. This part of the process can call as posting.

Using the double entry rule these accounts are balanced by making minimal adjustments which eventually end up in financial statements. These financial statements used to involve the income sheet, the balance sheet, the cash flow statement and statement of changes in equity