Differences between Cash accounting and Accrual Accounting

Differences between

Item	Cash Accounting	Accrual Accounting
1. Basis	Cash is the basis for recognition of Income or expense. That means actual cash received or paid is the basis.	Revenue earned for income and expense incurred is the basis.  That means Cash received or paid is immaterial
2. Nature	Simple	Complex
3. Matching concept	No.  Example : Advance Rs. one Lakh received in 2018 December, for which service is not delivered in FY 2018-19.  But Rs. One lakh is accounted in Fy 2018-19 as income only, though service is not rendered.  That means Income received, but corresponding expense is not incurred in that particular year. Hence No matching concept.	Yes.  Advance Rs. one Lakh received in 2018 December, for which service is not delivered in FY 2018-19.  Here Rs. One lakh is accounted in Fy 2018-19 as Creditor/Advance income only .  If service delivers in FY 2019-20, advance income shown in 2018-19 FY is adjusted as income earned in the year FY 2019-20.  Because service delivered and income earned are matched in FY 2019-20.
4. Recognition of Revenue	Cash is received	Revenue is earned
5. Recognition of Expense	Cash is paid	Expense is incurred
6. Accuracy	Low	High

***

Differences between Single Entry and Double Entry

Differences between

Item	Single Entry	Double Entry
1. Meaning	Accounting system in which only single entry requires for every financial transaction	Accounting system in which two entries requires for every financial transaction. For every debit, there is equaling credit is posted
2. Nature	Simple	Complex
3. Preferable for	Small enterprises	Big enterprises
4. Preparation of Financial Statements ( such as P & L Account and Balance Sheet)	Difficult	Easy
5. Suitable for Tax purpose	No	Yes
6. Knowledge of Book keeping	Not required	Required
7. Existing from	Since time immemorial	Since 1494 *
8. Detection of errors	Difficult	Easy

* Double entry book keeping was developed by Luca Pacioli, an Italian mathematician.  He is referred as "Father of Accounting and Book Keeping". He described book keeping along with other accounting topics in 9th chapter (150 pages) in his book  "The Summa de arithmetica"

***

APPENDIX 2 EXAM - SCR 2019 QUESTION PAPERS

CLICK BELOW

APPENDIX 2 EXAM - SCR 2019 QUESTION PAPERS

eOffice

eOffice

Website : https://eoffice.gov.in/

Vision:  To achieve a simplified, responsive, effective and transparent working of all Government offices.

·         Implement across the Governments, Central, State and district levels

·         Paperless office

·         Agency to dealt eOffice – NIC- National Informatic Centre, New Delhi

·         Streamline workflows for both intra and inter government processes

·         Built on Open Architecture.  ( Open architecture is a type of software architecture intended to make adding, upgrading, and swapping components easy)

·         Covered in 350 Departments (Indian Railways is one among them)

·         It is a MMP –Mission Mode Project under the National e-Governance programme of Government of India.

Benefits:

·         Transparency -  Files can be tracked and their status is known to all at all times

·         Accountability – the responsibility of quality and speed of decision making is easier to monitor

·         Data security and data integrity

·         Releasing staff energy and time from unproductive procedures.

eOffice – Products

1.    eFile 

·         Simplified, Accountable, Responsive, Effective, Transparent Electronic System

·         Paperless office

2.    KMS -  Knowledge Management System

·         Maintaining a central / single repository of Policies, Forms, Acts, Regulations, Circulars, Guidelines, Standards and Manuals – Where all Departments/ ministry users can access/view/search/share.

3.    CAMS – Collaboration And Messaging Platform – to communicate effectively and share information and ideas in real time.

4.    PIMS – Personnel Information Management System  - workflow based system for maintaining the details of an employee i.e., identity, skill sets, contact details, posting & location, CGHS – Central Govt Health Services, Nomination, Service volume I & II, Loans, Salary details, HBA, Record verification details.

5.    eLeave –  simple intuitive workflow based system –

·         apply the leave online, track the status of applied leave, details of leave taken and balance in leave account

·         eliminate the paper based applications

·         Approving authority can view the leave balance and also leave details prior to approving the leave.

6.    SPARROW -  Smart Performance Appraisal Report Recording Online Window

·         Electronic filing of APARs – Annual Performance Appraisal Reports by Officers – fills from anywhere, anytime as per their convenience.

7.    eTour

·         Apply and approve tour online, from anywhere, anytime

·         From applying for  the tour to the final settlement of bills

·         Apply for, cancel, approve/reject and view tour records without any hassle and delay of going through the paper work.

·         Complete trails of the employee’s tour and plans

eOffice – Indian Railways

·         Shift from manual filing system to eOffice

·         eOffice shall run on Railtel Network.

·         Railtel, a miniratna PSU of Indian Railways  - responsible for rollout the eOffice – Maintain the Application for five years after commissioning and ensure complete handholding session along with support for hardware/software

·         Technical support & Execution at Zonal Raiways/Divisions by S& T Department.

·         Based on CSMeOP – Central Secretariat Manual of e-Office Procedure.

·         Giant leap forward to digitize and achieve greater efficiency and productive for Indian Railways  

·         Cloud enabled software  ( where cloud-based and local components work together – accessed through a web browser with a continual internet connection)

·         Guntur Division in SCR – First Division in Indian Railways to rollout the eOffice

((())))

SCR LDCE 2019 PAPER ONE - QUESTION PAPER (RECONDUCTING)

Click here for SCR LDCE 2019 PAPER ONE - QUESTION PAPER (RE CONDUCTING)