If you are still confused what accounting means, then read on. Accounting in a simple term is the language of business.

We understand what language is, but what is business? Well, business is the purchase and sale of goods and/or services in an attempt to make a profit or earn money. For example, you buy an iPhone for $500,-, then sell it for $600,-, thus make a profit of $100,-. Buying and selling your stuff is a business.

Or, a service you offer, say real estate agent, copywriting, or consulting services to other people or organizations. When you earn money for services you perform to others, it’s a business, too.

When you have a business, you may want to tell your business to others who are interested in your business, so that you can sell your products and/or services.