acc 1000 

 

midterm 1

 

overview

 

  This is your review session!

 

-There are no dumb questions

-please sign in 

-topics range from chp. 1-3

 

agenda

 

- quick review

 

 

- questions from the AUDIENCE 

 

- Individual questions

 

income statement

 

balance sheet

 

Transaction Analysis

 

income is earned 

 

exepenses are incurred

 

RECEIVING AND PAYING CASH
DOES NOT ALWAYS MEAN A REVENUE OR EXPENSE!

 

Transaction Analysis

 

Example 1:

 

store

 

customer

 

yes

revenue

 

 

Transaction Analysis

 

Example 2:

 

worker

 

customer

 

not revenue

 

Transaction Analysis

 

Example 3:

 

employee

 

store owner

 

yes

expense

 

matching principle

 
  • Assets, ppe: $5000

  • LIABILITIES, std: $5000

 

matching principle

 
  • Assets, ppe: $5000

  • assets, cash: ($5000)

 

adjustments

 

1. Never recorded in cash column

 

 

 

 

 

2. Always recorded in Retained Earnings

 

 

 

 

 

3. Types: Warranty, Depreciation, Interest Payable/Receivable, Inventory/Supplies, Deferred Revenue, Prepaid Insurance/Advertising

 

Midterm 1 Financial Accouting

By Zachary Bedrosian

Midterm 1 Financial Accouting

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