Why could the Mahajani system of accounting not make much headway?
Answers
Answer:Mahajani accounting system is also complete and scientific accounting method used. It is thousands of years old system in India. The old businessmen keep their accounts in this system. It is one of the oldest systems in the world. The accounts are kept in large-sized folded books, bound in a red colour cloth called Bahis
Main features of Mahajani accounting system
• It is a complete and scientific method like a double book accounting system
• The principles of Double Entry system are followed in this system.
• Bahis are used to keep accounts. They are large sized folded books, contain thick and smooth papers, bound in thin red colour cloth having a strong string at one end.
• These books do not have lines, but lines are made by folding of papers
• In this transaction are recorded using black colour ink
• Transactions can be written in Hindi, and other Indian languages as Gujarati, Marathi, Sindhi, Urdu, Gurumukhi, etc. To maintain the secrecy of accounts, Sarafa and Mudiya script were also used in this accounting system
• In this system, the amount is written in starting and it does not have rupees and paisa column, but the bracket is used. Like for writing 10 Rs and 50 paise, instead of 10.50, 10)50 will be written
• Both Hindi and English dates are mentioned in this accounting system.
Explanation: