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Although numerous systems of accounting are in evidence much earlier, the roots of modern accounting techniques seem to lie with Italian retailers in Florence within the thirteenth century. The Italian metropolis states of the time had been the economic powerhouses of Europe, experiencing speedy urbanisation, innovating in commerce and lying on essential trade routes. Merchants were generally not producers themselves, they bought and offered to make a profit, and were therefore skilled at calculating costs and revenue margins. The rising ranges of trade, and wealth, gave rise to the necessity for improved record conserving.

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