Where some of the account balances are altered on the 10 column work sheet.
What is the Adjustment Column?
100
These make the financial statements easier to read and don't relate to debits and credits (hint on page 183).
What are multiple columns?
100
This is when Closing Entries are prepared.
What is after all adjustments have been journalized and posted to the general ledger accounts?
100
This account is only used during the closing process.
What is the Income Summary account?
100
Most transactions in a business involve this account.
What is the Cash account?
200
The amount that both the Income Statement and the Balance Sheet columns will be out of balance on the 10 column work sheet.
******Daily Double******
What is Net Income or Net Loss?
200
Increases asset accounts, expense accounts, and the drawing account.
What is a debit?
200
Only these types of accounts are closed in the closing process.
What are Temporary (Nominal) accounts?
200
Step 3 in the closing process.
What is close the Income Summary Account to the Owner's Capital Account?
200
Assets = Liabilities + Owner's Equity
What is the Accounting Equation?
300
The first financial statement prepared and reports the profitability of a business.
What is the Income Statement?
300
Assets that are expected to serve the business for many years.
What is Property, Plant, and Equipment?
300
Assets that will be converted into cash or consumed within one year or the normal operating cycle of the business, which ever is longer.
*****Daily Double*****
What are current assets?
300
The only time closing entries are posted into the general ledger.
What is always...always....always?
300
The steps involved in Accounting for all of the business activities during an accounting period.
What is the Accounting Cycle?
400
The balances in these will either be a debit balance or a credit balance but never both.
What are general ledger account balances?
400
The last financial statement that is prepared and reports the assets, liabilities, and capital of the business as of a specific date.
What is the Balance Sheet?
400
These types of accounts are never closed.
What are Permanent(Real) accounts?
400
Because the debit accounts are always listed first when preparing journal entries.
*****Daily Double*****
Why is the Income Summary account listed first when closing expense accounts?
400
These always carry a credit balance.
What are liability accounts, revenue accounts, and the owner's equity (capital)account.
500
Tracks the changes in the owner's capital account.
What is the Statement of Owner's Equity?
500
Similar items are grouped together on this type of balance sheet.
What is a Classified Balance Sheet?
500
Closes(zeroes out) the revenue, expense, and drawing accounts and records the profit or loss in the owner's capital account.
What is the closing process?
500
The last closing entry closes this account and takes the amount out of the owner's capital account.