Uneak White's Personal Brand Exploration Presentation
3 the-accounting-information-systems
1. Chapter 3: The Accounting Information Systems Intermediate Accounting, 11th ed. Kieso, Weygandt, and Warfield Prepared by Jep Robertson New Mexico State University
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6. The Double Entry System The system records the two-sided effect of transactions Transaction Two-sided effect Bought furniture for cash Decrease in one asset Increase in another asset Took a loan in cash Increase in an asset Increase in a liability
7. The Double Entry System Note that the accounting equation equality is maintained after recording each transaction.
8. The Account and the Debit-Credit Convention Asset Expense Debit Debit Revenue Liability Equity Credit Credit Credit Normal balance in account
11. Ownership (Equity) Structure Owners’ Equity Net Income Investments by Owners + Net Loss Dividends or Withdrawals -
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13. The Accounting Cycle: Steps End Adjusting Journal Entries Financial Statements Closing Entries Start over 7 6 5 8 Adjusted Trial Balance Post-Closing Trial Balance 9 Begin Accounting period Unadjusted Trial Balance 4 Originating Journal Entries 2 Post to Ledger 3
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15. Adjusting Entries: Recognizing Revenue Adjusting Unearned Revenue Recording Accrued Revenue Revenues received in cash and recorded as liabilities Revenues earned but not yet recorded in books
16. Adjusting Entries: Matching Expenses Adjusting Prepayments for Expenses Recording Accrued Expense Prepayments made in cash and recorded as assets Expense incurred but not yet recorded in books
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18. Scheme of Closing Entries Dividends 4 Ret. Earnings Revenue 2 Income Summary Expense 1 3
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