CHAPTER ONE
INTRODUCTION
1.1 ORIGIN OF ACCOUNTING
In the prehistoric times when man as individual unit, he lived alone, and produce all that he wanted. His only needs were food, shelter and clothing which he provided by himself. He had no business to transact with anybody or keeping record.When man began to depend on others as a result of the division of labour which heeds man to specialization on a particular occupation and field of production and exchanges his surplus for what he does not produce out needed.
Still, man could not take or keep any record of what he exchanged. In the sense that man has no idea of record keeping or documentation and the system of exchange was known as “Barter” which is the exchange of goods for other goods. There is no specific measurement that can be taken so no record can be kept. It was so cumbersome that man has to device another means for exchange in the form of commodity money such as cowries, copper wire, brassards etc. but records were not kept because they had no knowledge of such.The first system of record keeping started at about 3,500 B. C. during the Babylonian era, when records were kept on clays or stones. As commercial activities continued to grow, the keeping of records, data and information improved.
In place of clays/stones, they make use of the following:
(a) Magnetic Tape
(b) Compact Disc
(c) Magnetic Disc
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