tailieunhanh - Lecture Accounting fundamentas (7e): Chapter 4 - Curran

Chapter 4 - Revenue and expense accounts. After completing this chapter, students will be able to: Record debits and credits in revenue, expense, and withdrawal accounts; explain the rules of debit and credit; apply the rules of debit and credit for revenue, expense, and withdrawals on owner’s equity. | CHAPTER FOUR REVENUE AND EXPENSE ACCOUNTS 1. Record debits and credits in revenue, expense, and withdrawal accounts. 2. Explain the rules of debit and credit. 3. Apply the rules of debit and credit for revenue, expense, and withdrawals on owner’s equity. REVENUE AND EXPENSE ACCOUNTS Objectives: 4- Recording Revenue The increase in the owner’s equity that results from revenue is recorded in a separate revenue account. 4- Recording Expenses Separate expense accounts should be used to record costs of doing business. 4- Recording the Owner’s Withdrawals The owner of a business may use cash or other assets personally. This is recorded in the withdrawal account. 4- The Rules of Debit and Credit Assets Balance side is debit side Increase side is debit side Decrease side is credit side 4- The Rules of Debit and Credit (continued) Liabilities Balance side is credit side Increase side is credit side Decrease side is debit side 4- The Rules of Debit and Credit . | CHAPTER FOUR REVENUE AND EXPENSE ACCOUNTS 1. Record debits and credits in revenue, expense, and withdrawal accounts. 2. Explain the rules of debit and credit. 3. Apply the rules of debit and credit for revenue, expense, and withdrawals on owner’s equity. REVENUE AND EXPENSE ACCOUNTS Objectives: 4- Recording Revenue The increase in the owner’s equity that results from revenue is recorded in a separate revenue account. 4- Recording Expenses Separate expense accounts should be used to record costs of doing business. 4- Recording the Owner’s Withdrawals The owner of a business may use cash or other assets personally. This is recorded in the withdrawal account. 4- The Rules of Debit and Credit Assets Balance side is debit side Increase side is debit side Decrease side is credit side 4- The Rules of Debit and Credit (continued) Liabilities Balance side is credit side Increase side is credit side Decrease side is debit side 4- The Rules of Debit and Credit (continued) Owner’s Equity Beginning investment is on credit side Increases are on credit side Decrease are on debit side 4- The Rules of Debit and Credit (continued) Revenue Accounts Increases in owner’s equity through revenue are on the credit side Decreases in owner’s equity through reduction of revenue are on the debit side 4- The Rules of Debit and Credit (continued) Expense Accounts Decreases in owner’s equity through expenses on the debit side Increases in owner’s equity through reduction of expense on the credit side 4- Transaction Rebecca Van Lieu tested and screened job applicants for $800 on credit for a client, Donald Lynch. 4- Transaction Analysis The increase in the asset Accounts Receivable is recorded as a debit to the Accounts Receivable account. Because revenue was earned, owner’s equity increased and is reflected by a credit to revenue. 4- Transaction Rebecca Van Lieu received $400 on account from Donald Lynch. 4- Transaction Analysis This transaction

• Kế toán - Kiểm toán
• Accounting fundamentas
• Lecture Accounting fundamentas
• Nguyên lý kế toán
• Expense accounts
• Recording revenue
• Transaction analysis
• Trial balance
• Accounting errors
• Accounting terminology
• Accounting for purchases
• Purchases discounts
• Freight in
• Accounting equation
• Balance sheet
• Principles of accounting
• Analyze business transactions
• Net income
• The worksheet
• Financial statements
• Business transactions
• Closing the ledger
• Closing entries
• Postclosing trial balance
• Accounting cycle
• Accounting for sales
• Sales discounts
• Sales returns
• Purchases journal
• Recording transactions
• Worksheet adjustments
• Uncollectible accounts
• Owner’s equity accounts
• Form of accounts
• Account balances
• Income statement
• General journal
• Chart of accounts
• Business’s transactions
• General ledger
• Posting reference
• Correcting errors
• Merchandising businesses
• Charge account
• Cash discount
• Unpaid invoice file
• Purchases returns
• The sales journal
• Special journal
• Cash receipts journal
• Memorandum entry
• Cash payments journal
• Cash purchases
• Accounts receivable ledger
• Accounts receivable
• Statement of account
• Accounts payable ledger
• Schedule of accounts payable
• Notes payable
• Goods sold
• Cost of goods sold
• Ten column worksheet
• Classified balance sheet
• Adjusting entries
• Banking procedures
• Deposit slips
• Check stubs