Accounting

Definition:

Accounting is the way people keep track of their money by writing down what  they earn and spend. It helps them know where their money comes from and where it goes.

Example:

If a student gets ₹500 as pocket money, spends ₹200 on books, and ₹100 on  snacks, accounting shows that ₹200 is left as savings.

How to understand accrued interest:

Write down every time money is earned or spent. Group the money spent into categories like food or books. Look at the total money left to see how much can be saved. 

Importance of Accrued Interest:

It helps track how much money is earned and spent.             It encourages saving by showing what money is left.