The term “Financial Accounting theory” is used in the business world to refer to the body of knowledge that clarifies the rationale and guiding principles behind the practices and procedures used by accountants. This book provides a thorough introduction to the concepts behind the financial statement recording and reporting processes. The primary objective of this book is to enhance the student’s knowledge base and provide a solid groundwork for their future professional education. The primary objective of this program is to provide a comprehensive understanding of fundamental concepts in accounting, including Accounting Concepts & Conventions, Capital & Revenue Items, and other related topics. The book offers a conceptual framework for comprehending the core principles of financial management, specifically with accounting and costing. The provided material offers a thorough exposition of the fundamental principles, ideas, and methodologies that form the foundation of the topic within the framework of financial, legal, and taxation domains. The book on accounting theory and practice is a thorough, realistic, and well-illustrated academic resource. The primary aim of this book is to provide a comprehensive examination and novel perspectives, with accessible language, on the interconnected regulations and principles involved in resolving accounting issues. This book serves as a valuable resource for anyone seeking to achieve proficiency in financial accounting, catering to both students and professionals in the financial sector.