There are two equation used in accounting which is accounting equation (assets equal to liabilities plus equity) and profit determination equation (profit equal to revenue minus expenses). Double entry system is used inside the book keeping. T-account is a shape use when doing double entry system. It divided into left-hand side called “debit” and right-hand side called “credit” . Besides that , there are four types of business activities which are retail ,wholesale, manufacturing
Words: 974 - Pages: 4
A C C O U N TA N C Y HIGHER SECONDARY – FIRST YEAR Untouchability is a Sin Untouchability is a Crime Untouchability is Inhuman. TAMILNADU TEXTBOOK CORPORATION College Road, Chennai - 600 006. © Government of Tamilnadu First Edition - 2004 PREFACE CHAIRPERSON Dr. (Mrs) R. AMUTHA Reader in Commerce Justice Basheer Ahmed Sayeed College for Women Chennai - 600 018. REVIEWERS Dr. K. GOVINDARAJAN Reader in Commerce Annamalai University Annamalai Nagar - 608002. Dr. M. SHANMUGAM Reader
Words: 39315 - Pages: 158
J3 Cash No. 101 Date | | Explanation | | Ref. | | Debit | | Credit | | Balance | 2008 June 30 | | Balance | | | | | | | | 7,150 | Accounts Receivable No. 112 Date | | Explanation | | Ref. | | Debit | | Credit | | Balance | 2008 June 30 30 | | BalanceAdjusting | | J3 | | 1,000 | | | | 6,000 7,000 | Supplies No. 126 Date | | Explanation | | Ref. | | Debit | | Credit | | Balance | 2008 June 30 30 | | BalanceAdjusting | | J3 |
Words: 421 - Pages: 2
Huffman Trucking August 24, 2009 Huffman trucking Introduction The trial balance can be prepared at any point in time which lists all ledger account and the balances are used to provide the equality of debits and credits. Assets are listed first followed by liabilities and then owner’s equity. The trial balance proves that the accounts balance, but does not ensure that all transactions were entered or entered in the proper accounts. At Huffman Trucking we have decided to integrate an automated
Words: 1459 - Pages: 6
1. Which of the four basic financial statements has three main sections: one dealing with operating expenses, another dealing with financial activities, and another dealing with investment activities? a. 0 Income statement b. 0 Retained earnings statement c. 0 Balance sheet d. 0 Statement of cash flows 2. Which of the following lists the main sections of the statement of cash flows? a. 0 Operations, investment, and credit activities b. 0 Investments, credit, and cash operations c. 0 Operations
Words: 1960 - Pages: 8
S&H Green Stamps – Case Study Before we begin to discuss the timing of the revenue and expense recognition we should introduce a term related to loyalty programs which is called “breakage”. Breakage is the difference between points issued and points redeemed. Since S&H are getting cash for stamps issued to customers regardless of whether they are redeemed for goods later on (or not), the difference between the two is a major factor in their income and profitability. As we have learned, the realization
Words: 381 - Pages: 2
BE5-1 Korinek Company Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Net Income $71,200.00 $41,200.00 $30,000.00 $17,900.00 $12,100.00 $108,000.00 $70,000.00 $38,000.00 $8,500.00 $29,500.00 $181,500.00 $71,900.00 $109,600.00 $46,200.00 $63,400.00 BE5-2 Pocras Company Date Account Title and Explanations Debit Credit Inventory $590.00 Accounts
Words: 274 - Pages: 2
ACCOUNTING CYCLE The Series of business transactions which occur from the beginning of an accounting period to the end of an accounting period is referred any specific period of time for which a summary of business’s transaction is prepared. Steps in Accounting Cycle:1. 2. 3. Journalizing (Recording) Posting to Ledger (Classifying) Final Account (Summarizing) Now Explain Steps:1 Recording:- This is the basic function of accounting. All business transaction, as evidenced by some documents such
Words: 8181 - Pages: 33
respectively. 9. The double-entry system of accounting refers to the placement of a double line at the end of a column of figures. 10. A credit balance in a liability account indicates that an error in recording has occurred. 11. The dividends account is a subdivision of the retained earnings account and appears as an expense on the income statement. 12. Revenues are a subdivision of retained earnings. 13. Under the double-entry system, revenues must
Words: 1114 - Pages: 5
Refer-a-Friend Program Runaway Discount ( the Company) in an effort to increase its sales implemented a customer referral marketing scheme “Refer-a-Friend Program” to increase its customer base. Under this program a $25 credit will be provided to existing customer who refer their friend to the company and referred friend purchases merchandize from the company. The existing customer can apply this credit of $25 to their future purchase from the company. The application of this program will require
Words: 825 - Pages: 4
