Introduction :

Different authors at different times in their writings attributed the beginning of

the development of modern accounting to the works of Luca Pacioli in the 15th
century, Summa de Arithmetica, Geometrica, Proportioni et Proportionalita (All
About Arithmetic, Geometry and Proportion) overlooking the long
development of accounting systems in primitive and medieval times . Contrary
to the belief in some quarters that Pacioli's work was the first on double
bookkeeping, Beneditto Cotrugli writing in his Delia Mercatura et del Mercante
Perfetto (from Trading and The Perfect Trader) describes several

Double-entry features credited in Pacioli's work (Alexander) validate this

assertion when he writes:

Although Luca Pacioli did not invent double-entry bookkeeping, his treatise on
bookkeeping , said he laid the foundation for double-entry bookkeeping as it is
practiced today.

Also Walker, in her article Is Zero Better? Benedetto Cotrogli invented double-
entry accounting and Luca Pacioli introduced journals and ledgers.

The development of accounting can be viewed from three different

dimensions, although none of the dimensions can be definitively fixed to a
particular point in time. In the historical development of accounting, it is the
primitive age that dwells on record-keeping in the form of inscription on tablets
of stone, clay, and wood; the medieval era which saw the development of
bookkeeping for the purpose of analyzing, classifying and recording
transactions as a means of reporting financial position; Finally, the modern era
is witnessing the development of bookkeeping with much refinement in
accounting.

In his work Edwards asserted that “record-keeping traces its origins to the
institution of private property and owes its subsequent development to the
increasing number and complexity of property transactions and to the
establishment of monetary systems.” Ownership of private property dates back
to primitive times, and the introduction of the monetary unit as a legal means
of measuring the value of goods and services created the need to specialize in
the art of record-keeping that later evolved into bookkeeping. Hence the
bookkeeping profession. As trade and commerce continues to flourish in terms
of volume between nations, the need to develop a more robust bookkeeping
system and also the need for expert accountants in increasing numbers
becomes indispensable. This increasing trend necessitated the transition to
accounting which also witnessed further development and separation into
different branches - financial accounting, cost accounting, management
accounting, and more recently international accounting.

Therefore, we will look forward to studying the actual era of the time from
which modern accounting began, as well as strengthening international
accounting bodies:

Primitive era :
Not much can be said about the origin of record keeping because different
countries have their own unique way of keeping records. This era, which lasted
until 500 BC, saw Nineveh and Babylon referred to as centers of commerce and
commerce.

During this era - from Mesopotamia to ancient Egypt, ancient Greece, and
ancient Roman - government business was conducted by Scribecht who are
reputed to be the first record-keepers. As such, they perform the duties of a
lawyer and an accountant

Mesopotamia accounting system :

The history of this system dates back five thousand years before the
generalization of the bookkeeping system. The log book kept by the clerk which
is currently equivalent to the accountant. The scribe's duties were more
comprehensive in that he ensured that all transactional agreements complied
with the law of commercial transactions as evident in the Code of Hammurabi
and that such transactions were recorded on clay tablets. Although the papyrus
that was used for writing was also used when it was available. In place of a
quill's nib, papyrus was also used to apply writing ink

Accounting system in ancient Egypt :

The ancient Egyptian system was developed in a manner similar to that of
Mesopotamia. The use of papyrus allowed for the detailed recording of the
royal storehouses. With a well-established internal control system in place with
a royal audit in place, the auditors kept a detailed record. However, their
inability to establish a single unit of measurement for evaluating goods and
services affects the progress of their accounting system development.

Ancient Greek accounting system :

The most important contribution of the Greeks was the introduction of metal
money, as well as its influence on the development of accounting. The Greek
banking system appears to be more developed than that of previous societies.
Members of the Athenian People's Assembly legislated on financial matters and
controlled the receipts and payments of public funds by supervising ten
selected government accountants. The use of the state accountant was to
allow the people to maintain real control over public finances (Edwards, 1960;
Alexander, 2002)

Ancient Roman Accounting System :

The Romanian government requires its citizens to submit a regular statement
of assets and liabilities for the purpose of determining the taxes and civil rights
of citizens. He therefore kept traditional registers called adversaria (day book)
in which daily entries of receipt, payment and summary publication were
recorded in another called codex accepti et expensi (cash book) at the end of
each month (Edwards, 1960; Alexander, 2002). Besides those records kept by
the head of a Roman household, Roman bankers kept a third type of record
book called the Liber rationum (account book). The banker was obliged to
present the account and, if asked, to present an extract of the account before
the praetor—a Roman judge under the rank of consul and with judicial
functions—who was a government official (Wooff, as cited in Edwards, 1960).

It can be said that this is the beginning of the modern day third party reporting
system. The banker who is referred to as a quaestor (Alexander, 2002) can be
seen as the equivalent of the contemporary public accountant

medieval era :
The fall of the Roman Empire halted the development of the accounting system
for more than a millennium. The Romans, however, continued to preserve and
improve existing techniques of receiving, paying, and bookkeeping. By AD 812,
Charlemagne had issued an edict known as the capitulore de villis containing
instructions for the administration of the imperial estates. The decree provided
for the maintenance and submission of income and expenditure accounts. As a
result of this development, many powers have been delegated by the
property/property owners to the actual owners and users who are expected to
file stewardship accounts annually or as the property/property owner may
specify. This decree is an indication of accounting regulation across
international borders. According to Edwards,

Each governor, or steward, of the emperor's estates was required to submit a

report, and to submit an annual survey of the royal estates, including land
inventories, rent schedules, fines, agricultural produce, and so on. The income
and expenses of the estate were recorded in separate books. Transactions
were recorded in a journal, more or less in the form of an article. Evidence for
more advanced characteristics of the double entry is found in the ledger of the
Florentine bank. It explains that a depositor's account was debited on one page
and credited on another (Liu & Yuan, 2011; Edwards, 1960) and "In Italy, a
banker's journal was generally considered a public record that could not be
challenged in court." Staley asserted in his own opinion that:

The genesis of double bookkeeping as defined here must be on bankers, not

merchants, and it can be found in the accounting terminology that arose at the
time in the Florentine banking guild

This view also invalidates claims that Pacioli and/or Cotrugli are the father(s) of
modern accounting. Although some authors have credited the widespread use
of cross-border double bookkeeping in their work for publishing abstracts. The
claims of the authors who believe that Pacioli and Cotrugli are the fathers of
accounting is a fallacy because of the overwhelming evidence that abounds
regarding the invention of the journal, the ledger, and indeed double-entry
bookkeeping traceable to the ledger of the Bank of Florence and others.
Account book kept by Florentine merchants in the early 13th century.