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24 Cards in this Set
- Front
- Back
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What is reported in an Income Statement?
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1. Rev-like Fees/Comm Earned
2. Minus Total Expenses from Fees/Comm Earned 3. Then you have your total net income which you transfer to Retained Earnings sheet |
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What is included on the Retained Earnings sheet?
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1. Begining Ret. Earnings of the month
2. Net income from Income Statement 3. Minus Dividends from Net Income 4. Retained Earnings, end of the month after you add beginning amt of RE to Net income, less div. |
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What is included in Balance Statement?
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1. Assets, list assets, total Assets
2. Liabilities, A/P, Unearned rent, Wag/Sal Payable 3. SO Equity, Cap stock, Ret. earnings amt from RE sheet Then Total Liab + SO Equity-must match Assets total |
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What is the Accounting Equation?
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Assets= Liab + SO Equity
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When you purchase an asset for cash-what happens to acct. equation?
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Total is not changed
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When SO invest 20,000 in exchange for shares of stock?
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1.Debit 20,000 to cash
2.Credit 20,000 to Cap Stock |
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Bought Software for 1,300, paying 250, and signing a note for the rest?
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1. Debit software=1,300
2. Credit Cash= 250 3. Credit Note/payable= 1,050 |
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Billed client for services performend/rendered, 1,840?
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1. Debit A/R= 1,840
2. Credit Fees E= 1,840 |
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Purchased $135 of supplies on credit?
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1. Debit Supplies= 135
2. Credit A/P= 135 |
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Paid Rent of $3,500?
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1. Debit Rent Exp=3,500
2. Credit Cash= 3,500 |
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Paid 2,700 for Salaries?
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1. Debit Sal. Exp= 2700
2. Credit Cash= 2700 |
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Received payment from client billed (1,840) on 11/8?
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1. Debit Cash= 1,840
2. Credit A/R= 1,840 |
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Paid $50 on account for supplies purchased on 11/13 of $135?
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1. Debit A/P = 50
2. Credit Cash= 50 |
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Paid $500 in Dividends?
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1. Debit Div.= 500
2. Credit Cash= 500 |
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Rec'v util bill of $179 to be paid next month?
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1. Debit Util Exp= 179
2. Credit A/P= 179 |
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When you rec'v revenue, ex. cash rec'v, fees already earned-what happens to acct equat?
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You increase an Asset and you increase SO Equity
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When you pay Dividends- what happens to acct. equat?
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You decrease Asset (cash) and decrease SO Equty.
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When you pay a Liability-what happens to the acct. equat?
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You decrease an asset (cash) and you decrease the Liab.
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When you rec'v cash from a customer in advance before services were performed-what happens to the acct equat?
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You increase an asset (A/R) and you increase a Liab like Unearned Fees.
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When you rec'v fees that you earned on account- what happens to acct. equat?
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You increase an asset (A/R) and you increase a Liab (fees earned)
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When you rec'v cash from fees earned?
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1. Debit Cash
2. Credit Fees Earned |
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When you rec'v cash from customers in payment of their acct?
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1. Debit Cash
2. Credit A/R |
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When a business pays a debt owed?
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1. Debit A/P
2. Credit Cash |
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When a business agrees for a customer to pay their fees at a later date?
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1. Debit A/R
2. Credit Fees Earned |
