Previously the terms 'book-keeping' and 'accountancy' were regard as one thing. But in modern age the word 'accountancy' has different meaning. Accountancy is a broad concept and it includes book-keeping also. Accountancy is concerned with analysis of records. A businessman prepares various statements and calculate ratios to measure the actual performance fo the business. Comparison of actual performance with desired performance helps in effective planning for future. In its Way, accounting is the art of identifying, classifying, recording, summarising and analysing business transactions of financial nature. In business the financial transation are some complicated and so many in number that it is not possible to remember them.So these dealings are written in the form of money. The procedure of this writing down is called Book-keeping . In a general sense book keeping means to arrange books properly.