The Chart of Accounts The increases and decreases in accounting element as affected by a business transaction are recorded in a device called account name‚ account title or account. Each accounting element is composed of several accounts which describe the related economic transactions and events. To maintain uniform account name‚ the business must have a listing of all the accounts it uses to record economic transactions. This listing of all accounts is called “Chart of Accounts.” The Chart of
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EXAM SAMPLE EXAM 1. The accounting process does not include: a. b. c. 2. d. e. labor unions all of the above statement of owner’s equity income statement balance sheet d. e. both b and c all of the above This account does not appear on the income statement: a. b. c. 6. lenders prospective owners customers Expenses can be found in the: a. b. c. 5. balance sheet balance sheet and journals balance sheet and income statement income statement
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(Also known as "T" Account and Account) Having passed the double or journal entries‚ the next step is to post these double or journal entries into Ledger accounts. Ledger account or an account is simply the classification of double entries which we have made in General Journal or any other journal. In an account we bring together all similar entries in one place. For example a company has purchased goods on 4th and 7th January‚ we would put both entries in purchases account because of their similar
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Published Accounts Practice Question 1 The following trial balance was extracted from the books of Eavis plc on 31 December 2009: £000 £000 Sales 11‚700 Provision for depreciation: Plant 738 Vehicles 375 Rent receivable 100 Trade payables 738 Debentures 250 Issued share capital: Ordinary £1 shares 3‚125 Preference shares (treated as equity) 625 Share premium 250 Retained earnings
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1 Merchandise Inventory 6‚000 Accounts Payable—Abilene 6‚000 Purchased goods on credit. 4 Accounts Payable—Abilene 100 Cash 100 Paid freight for Abilene. 5 Accounts Receivable—Lux 4‚200 Sales 4‚200 Sold goods on credit. 5 Cost of Goods Sold 3‚000 Merchandise Inventory 3‚000 To record the cost of August 5 sale. 8 Merchandise Inventory 5‚540 Accounts Payable—Welch 5‚540 Purchased
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services‚ (3) recording the asset or expense and related liability‚ and (4) depreciating assets purchased. True False 2. Purchases are requisitioned by a purchasing department that seeks the best prices and quality. True False 3. The accounts payable department reconciles the vendor invoice‚ purchase order‚ and receiving report prior to approving the payment to the vendor. True False 4. Bill of ladings for goods shipped from a vendor to the purchasing company should always include
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CHAPTER 13 Current Liabilities and Contingencies ASSIGNMENT CLASSIFICATION TABLE (BY TOPIC) Topics 1. Concept of liabilities; definition and classification of current liabilities. 2. Accounts and notes payable; dividends payable. 3. Short-term obligations expected to be refinanced. 4. Deposits and advance payments. 5. Compensated absences. 6. Collections for third parties. 7. Contingent liabilities (General). 8. Guaranties and warranties. 9. Premiums and awards offered to customers. Questions
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Corporation Requirement no. 1 Notes payable: Arising from purchase of goods Arising from bank loans‚ on which marketable securities valued at P600‚000 have pledged as security‚ due Dec. 31‚ 2005 Arising from advances by officers‚ due June 30‚ 2005 Employees’ income tax withheld Advances received from customers on purchase orders Containers’ deposit Accounts payable arising from purchase of goods (P170‚000 + P30‚000) Customers’ account with credit balance Cash dividends payable Current portion of serial bonds
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Notes Payable Purchase discounts on A/P has already been covered‚ refresher is in text. You can also look at: Written promises to pay a certain sum of money on a specified future date. Example -On April 1‚ the corporation bought a truck for $30‚000 from GM Company‚ paying $4‚000 in cash and signing a one-year‚ 12% note for the balance of the purchase price. GROSS METHOD Purchase Cost $10‚000 terms 2/10 net 30 Purchases 10‚000 Accounts Payable 10‚000 NET METHOD Purchases 9‚800 Accounts payable
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Dawnfoodproducts.com 3333 Sargent Rd. Jackson MI 49201.Through our expansive distribution network (20 Locations): With next day service to over 40 major metropolitan areas Credit Policies No I am not planning to sell on credit. Managing Your Accounts Payable A couple thousands on flour eggs milk things to actually ake the pasteries that you have to always have. Management and Organization I will be the one to manage the business on a day-to-day basis. Professional and Advisory Support To start
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