Journalizing, Posting, and Preparing a Trial Balance To start out I got myself so confused at first I could not figure out what to do. I think I have finally figured out how to set this up. For cash I entered $25,000 on the credit side then I show $25,000 for common stock on the debit side. Accounts receivable I entered $2,100 on credit and debit side. The reasoning for this it is a tax bill for clients. Supplies charged $2,500 on the debit side, then I show it under accounts payable on the credit
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Journalizing, Posting, and Preparing a Trial Balance Below please find the explanation of our finances for the month of May: On the first of the month our stockholders invested $25,000 cash in exchange for common stock. The company needed a secretary to handle all administrative duties and we hired for this position which salary will be $2,000 monthly. Supplies were needed from Read Supply Company which incurred an expense of $2,500. The rent for our offices is $900. In addition, we were
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Hewlett-Packard | Preparing Balance Sheets and Statements. | Checkpoint 4 | | Cocina Williams | 1/17/2013 | | Preparing balance sheets and statements Checkpoint 4 By Cocina Williams Due 01/17/2013 Acc225/Donald Huntley Quick Study 4-2 pg. 156 List the following steps of the accounting cycle in their proper order: a. Preparing the post-closing trial balance. b. Posting the journal entries. c. Journalizing and posting adjusting entries. d. Preparing the adjusted trial balance. e. Journalizing
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2012). This is also to ensure the accuracy and conformity of financial statements to GAAP. This set of procedures includes: (1) identifying and measuring transactions; (2) journalizing; (3) posting; (4) preparing an unadjusted trial balance; (5) making adjusting entries; (6) preparing an adjusted trial balance; (7) preparing financial statements; and (8) closing (Kieso, Weygandt, & Warfield, 2012) . This paper will summarize the overall accounting cycle for the inventory department at Sunrise Growers
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use accounting software that processes many of these steps simultaneously” (“What is the accounting cycle?” 2007, para. 3). The accounting cycle consists of: identifying, journalizing, posting, trail balance, adjusted entries, adjusted trial balance, preparing financial statements, closing, post-closing trial balance, reversing entries, and financial statements (Kieso, Weygandt, & Warfield, 2007, Chapter 3). Identifying a transaction or event is the first step in the cycle; businesses engage
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and source documents that describe transactions and events. Examples of source documents are bank statements, checks and purchase orders. After we have analyzed the transactions, events and source documents, we are ready for the next step, journalizing. Journalizing is the process of recording a transaction in the journal. To do this we 1) record the date of the transaction in the date column, 2) the title of the account to be debited is recorded at the left hand margin under the description column
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The Process of the Accounting Cycle The process that goes through analyzing and journalizing transactions and is finished with a post-closing trial balance is the accounting cycle. The accounting cycle reports the financial information during the accounting period. It has 10 steps. In order to do it all correct it is better to follow step by step, instead of rushing it then later have problems with the number not adding up. Here all the steps and the explanations throughout the accounting cycle
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Question 1: Proficient: Describe the steps in recording and posting the effects of a business transaction and provide some examples of source documents used in these steps. A company begins a business transaction as a result of a management decision. The company transaction is evidenced by a source document. The information obtained from source documents provides a starting point to prepare a journal entry. After the journal entry is prepared, it is posted to accounts in the ledger. Some examples
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Cycle d. Analyze Transactions e. Journalize the Transactions f. Post to Ledger Accounts g. Prepare a Unadjusted Trial Balance h. Journalize and Post Adjusting Entries i. Prepare an Adjusted Trial Balance j. Prepare Financial Statement k. Journalize and Post Closing Entries l. Post-Closing Trial Balance m. Optional Reversing Entries IV. Conclusion While not having an accounting cycle for the business can possibility hurt the
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Chapter 3 1. | Accountants divide the economic life of a business into artificial time periods because of the time period assumption. A. | True | B. | False | | 2. | Which of the following time periods would not be referred to as an interim period? A. | Monthly | B. | Annually | C. | Semi-annually | D. | Quarterly | | 3. | An accounting time period that is one year in length is referred to as A. | a reporting period. | B. | a fiscal year. | C. | an interim period. | D
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