The basics of accounting concept involve the recording, analyzing, and reporting of financial transactions of a business. This concept is essential for businesses to keep track of their financial activities and make informed decisions.

1. Recording: The first step in accounting is to record all financial transactions accurately. This typically involves entering the details of each transaction, such as the date, description, and amount, into a journal or ledger.

2. Analyzing: Once the transactions are recorded, they are analyzed to determine their impact on the financial position of the business. This analysis helps in understanding the financial health of the business and identifying any trends or patterns.

3. Reporting: Accounting reports are prepared to communicate the financial information to various stakeholders, such as investors, creditors, and management. These reports include financial statements like the balance sheet, income statement, and cash flow statement.

4. Preparation: The preparation of financial statements involves organizing and summarizing the recorded transactions into meaningful reports. This process requires the use of accounting principles and rules, such as the Generally Accepted Accounting Principles (GAAP) or International Financial Reporting Standards (IFRS).

Overall, the basics of accounting concept involve accurately recording, analyzing, and reporting financial transactions to provide a clear picture of the financial performance and position of a business. This information is crucial for decision-making, planning, and evaluating the success of the business.