In the Beginning
.... more
Equations
"We're doing accounting!"
Posting to a General Ledger . . . and beyond
100
The planning, recording, analyzing, and interpreting financial information.
What is accounting?
100
Assets = liabilities + owner's equity?
What is the accounting equation.
100
Paid cash for supplies.
What is debit supplies / credit cash?
100
Memorandums, receipts, sales invoices, checks, calculator tapes.
What source documents?
100
A list of account titles and numbers showing the location of each acount in a ledger.
What is a chart of accounts?
200
Reports that summarize the financial condition and operations of a business.
What is financial statements?
200
What are the financial rights to the assets of a business called?
What are equities?
200
Paid cash on account to Home Depot.
What is debit accounts payable - Home Depot / credit cash?
200
A form for recording transactions in chronological order.
What is a journal?
200
The first digit of an account number indicates this.
What is the division (asset, expenses, etc.) in which the account is located?
300
A business that performs an activity for a fee.
What is service business?
300
Anything of value that is owned.
What is an asset?
300
Paid cash for insurance.
What is debit prepaid insurance / credit cash?
300
Recording transactions in a journal.
What is journalizing?
300
Transferring information from a journal entry to a ledger account.
What is posting?
400
A business owned by one person.
What is proprietorship or sole proprietorship?
400
An amount owed by a business.
What is an liability
400
Received cash from owner as an investment.
What is debit cash / credit owner's equity.
400
A journal amount column that is not headed with an account title.
What is a general amount column?
400
Enter this when a transaction has been improperly journalized and posted to the ledger.
What is a correcting entry?
500
Organized summaries of business's financial activities.
What are accounting records?
500
The principles of right and wrong that guide an individual in making decisions.
What are ethics?
500
Paid cash to owner for personal use.
What is debit owner's equity drawing / credit cash?
500
Verifying that the total debits on the page equal the total credits.
What is proving?
500
A form used to summarize the general ledger information needed to prepare financial statements.
What is called a work sheet?
M
e
n
u