EXPLAIN WHAT AN ACCOUNT IS AND HOW IT HELPS IN THE RECORDING PROCESS.
DEFINE DEBITS AND CREDITS AND ILLUSTRATE HOW THEY ARE USED TO RECORD BUSINESS TRANSACTIONS.
DESCRIBE THE BASIC STEPS IN THE RECORDING PROCESS.
EXPLAIN WHAT A JOURNAL IS AND HOW IT HELPS IN THE RECORDING PROCESS, AND JOURNALIZE BUSINESS TRANSACTIONS.
EXPLAIN WHAT A LEDGER IS AND HOW IT HELPS IN THE RECORDING PROCESS.
EXPLAIN WHAT POSTING IS AND HOW IT HELPS IN THE RECORDING PROCESS.
EXPLAIN THE PURPOSE OF, AND PREPARE A TRIAL BALANCE.
CHAPTER 2 SUMMARY: THE RECORDING PROCESS
1. The Account
An account is an individual accounting record of increases and decreases in a specific asset, liability, or owner’s equity item.
1.2 An account consists of three parts:
1.2.1 The title of the account.
1.2.2 A left or debit side.
1.2.3 A right or credit side.
1.3 The positioning of these parts resembles the letter T, and therefore the account form is called a T account.
Use ILLUSTRATION 2-1 to explain the concept of an account. Emphasize that a T account is used frequently in the classroom because it can be constructed quickly and it contains the three major parts of an account.
2. Debits and Credits
2.1 The term debit refers to the left side of an account and credit refers to the right, side of an account.When the debit amounts exceed the credits, an account has a debit balance; when the reverse is true, the account has a credit balance.
2.2 In a double-entry system, equal debit and credit amounts are entered in the accounts for each transaction. Thus, the total debits will always equal the total credits
ILLUSTRATION 2-2 can be used to explain the debit and credit rules for increasing and decreasing accounts. Emphasize that the normal balance of an account is the same as the increase side.
2.3 Assets, drawings, and expenses are increased by debits and decreased by credits.
2.4 Liabilities, owner’s capital, and revenues are increased by credits and decreased by debits.
ILLUSTRATION 2-3 is a short exercise that can be used in class to review the normal balances of accounts introduced in Chapters 1 and 2.
3.1.1 Analyse each transaction in terms of its effect on the accounts.
3.1.2 Enter the transaction information in a journal (book of original entry).
3.1.3 Transfer the journal information to the appropriate accounts in the ledger (book of accounts).
Use ILLUSTRATION 2-4 to present a conceptual overview of the basic steps in the recording process.
4. The General Journal / Journalizing
4.1 Transactions are initially recorded in a journal (book of original entry). Entering transaction data in the general journal is called journalizing.
ILLUSTRATION 2-5 can be used to demonstrate the proper form and content when entering a transaction in the general journal.
4.2 The general journal:
4.2.1 Discloses in one place the complete effect of a transaction.
4.2.2 Provides a chronological record of transactions.
4.2.3 Helps to prevent or locate errors because the debit and credit amounts for each entry can be easily compared.
4.2.4 Provides an explanation of the transaction and, where applicable, identifies the source document.
4.2.5 A simple journal entry involves only two accounts (one debit and one credit) whereas a compound journal entry involves three or more accounts.
ILLUSTRATION 2-6 is a short exercise that can be used in class to demonstrate the analysis and recording of business transactions in a general journal.
5. The General Ledger
5.1 The general ledger is the entire group of accounts maintained by a company.
Use ILLUSTRATION 2-7 to discuss the different forms of accounts.
5.1.1 The ledger provides information about changes in specific account balances for
Chapter 2, which is titled Database Types, is about the different types of databases and the different types of data that databases can store. The book defines database as a tool that stores data, and lets you create, read, update and delete the data in some manner. I thought that this definition was very broad at first but after reading more it began to make sense. Chapter 2 also discusses what kinds if databases are most common. I learned that the relational database is by far the most popular…
Vegard Perander 2/5/15 Poole Block 1 Fredrick Douglass Narrative Chapter 1&2 Fredrick Douglass starts off by explaining that he was born; Tuckahoe. Throughout his entire life, he had never known his birth date, and felt that if the white children could know their birthday, he should have the privilege to know his as well. His rumored father was a white man, and some thought that it could have been his master. His mother was taken away from him at an early age so that they would never bond and be…
This pack of BIO 315 Week 3 Discussion Question 2 includes: What is demographic stochasticity? Why are small populations more susceptible to extinction from demographic stochasticity than larger populations? Why is demographic stochasticity important to biologists? Deadline: ( ), Biology - Ecology and Environmental Science I urgently need help on this course and many other courses. Am almost to the end of week two and haven't been able to post anything due to my work schedule. I will like to…
tests. 2. Critically analyze and evaluate evidence, judge soundness of ideas, predict consequences, formulate conclusions, make generalizations, comprehend elements of topic, outline main ideas and supporting details, predict effects of propaganda and bias, and connect acquired textual information to schema to determine the author’s implied and stated purposes in a text, to develop and organize support for a thesis, and to properly integrate primary sources as demonstrated in essays, summaries, outlines…
Problems consists of: Complete the following problems from Chapter 14 and submit to the instructor by the end of Day 7. These problems will be graded for accuracy. Problem 14-16 Problem 14-18 Problem 14-18 (continued) Problem 14-20 General Questions - General General Questions ACC 202 Week 1 Assignment Week One Exercises Week One Exercises. Complete the following exercises from Chapter 10 11 and submit them to the instructor by the end of Day 3. This…
GUIDELINES FOR FORMAT AND CONTENT OF THE DISSERTATION CHAPTER 1 INTRODUCTION TO THE STUDY Background This section should be approximately 2-5 pages of background narrative, citing literature as appropriate and needed. You have two purposes in this section: (a) grab your readers’ attention and (b) enlighten your readers about the thrust of the study and its importance. Conceptual Underpinnings for the Study Reread your Chapter 2 to see if you can determine a theoretical or “quasi-theoretical”…
Summer Session 3 (2012) Summary: Is Popular Culture Good for You? Length: 1-2 pages (double-spaced with proper header, a descriptive title, and a Works Cited entry) Source: David Crystal’s “2B or not 2B” Due: End of class period, Wednesday, June 13th Percentage of Final Grade: 10% Objective: Write a summary of Crystal’s essay “2B or not 2B.” Use a template from They Say, I Say to begin your summary. Make appropriate rhetorical “moves,” such as integrating…
course. Consult your College of Business advisor if you are unsure. METHOD OF INSTRUCTION: Individual exams will test over chapters in the textbook. Prior to each individual exam, you will answer brief essay questions over the readings for that exam. An end of the semester assignment is given for each of you to have two surveys completed and to write a project summary that will deal with issues related to organizational behavior. More details later in the syllabus. STUDENT ZIP CODE INFORMATION:…
will do that in the Executive Summary. You may then wish to add a paragraph telling me about your experiences (successes and frustrations) or other significant discoveries in the process of preparing the report. As always, end with some goodwill. ii CONTENTS PAGE EXECUTIVE SUMMARY iv CHAPTER 1 - INTRODUCTION 1 Background 1 Statement of Purpose 2 Scope 2 Limitations 3 Methods of Research 3 CHAPTER 2 - FINDINGS 4 Economic Conditions…
BST002 Business Studies 2 CRICOS Provider Code SAIBT 02193C, University of South Australia 00121B Part of the Navitas group Introduction Course content and structure Topic 1 Operations The role of operations management Influences on operations management Operations strategies: Business Planning Topic 2 Marketing The role of marketing. What is marketing? Influences on marketing Marketing Process Marketing strategies Part of the Navitas Group Introduction Course content and structure…