Methods of Recording Accounting Information

What is it?

Traditional system in regional languages (Marathi, Hindi, Urdu, and Gujarati) recorded in Bahi‑Khata & Kird. 

Records only Cash Book & Personal Accounts. One‑sided and incomplete

System where every transaction has two effects—one account debited, another credited with an equal amount.

Is it scientific?

No

No

Yes

Who uses it?

Small business owners, shopkeepers, and traditional traders.

Small‑scale businesses, individuals.

All sizes of businesses worldwide.

Key Features

• One‑sided entries

• Traditional terms

  (Jama = credit, 

  Udhar = debit)

• Based on customs, not standard rules

• Only partial transaction records

• Flexible according to convenience

• Simple structure

• “Every Debit Has An Equal  Credit” rule

• Complete record system

• Balances financial statements

Advantages

• Easy to maintain

• Suitable for small/local businesses

• No professional accounting knowledge needed

• Quick & easy method

• Requires low skill

• Accurate & reliable

• Enables error detection

• Shows full financial position & profit

Limitations

• Incomplete & inaccurate

• No formal financial statements

• Cannot track all assets/liabilities

• No scientific accuracy

• Does not reveal true profit or position

• Errors hard to detect

• Requires accounting knowledge

• More time & effort than simpler systems