Cfa 2009: Fsa Chapt 30 Ss 7

Front 1

Recording Transactions
Operating Activities

Back 1

Sales of goods and services to customers - R
Costs of providing the goods and services - X
Income tax expense - X
Holding short term assets or incurring short term liability directly related to operating activities - A, L

Front 2

Recording Transactions
Investing Activities

Back 2

Purchase or sale assets, PPE - A
Purchase or sale of other entities equity and debt securities - A

Front 3

Recording Transactions
Financing Activities

Back 3

Issuance or repurchase of the companys own or preferred or common stock - E
Issuance or repayment of debt - L
Payment of distributions - E

Front 4

Common Accounts
Assets

Back 4

Cash and cash equivalents
Accounts receivable, trade receivables
Prepaid Expenses
Inventory
PPE
Investment Property
Intangible Assets - goodwill, patents, trademarks, licenses, copyrights
Financial assets, trading securities, investment securities
Investments accounted for by the equity method
current and defferred tax assets
for banks - Loans receivable

Front 5

Common Accounts
Liabilities

Back 5

Accounts payable, trade payables
Provisions or accrued liabilites
financial liablities
Current and deferred tax liablities
Reserves
Minority interest
Unearned revenue
Debt payable
bonds payable
for banks - deposits

Front 6

Common Accounts
Owners equity

Back 6

Capital such as common stock par value
Additional paid in capital
Retained earnings
Other comprehensive income

Front 7

Common Accounts
Revenue

Back 7

Revenue sales
Gains
Investment income, interest and dividends

Front 8

Common Accounts
Expense

Back 8

Costs of Goods Sold
SG&A
Depreciation and amortization
Interest expense
Tax expense
Losses

Front 9

Basic Acct Equation

Back 9

assets=liabilities + Owners equity

Front 10

Basic Acct Equation
solved for owners equity

Back 10

assets - liabilities = owners equity

Front 11

Basic Acct Equation
solved for owners equity classified by its origin

Back 11

owners equity = contributed capital + retained earnings

Front 12

Equation reflected in the I/S

Back 12

Revenue - expenses = Net income

Front 13

Equation underlying retained earnings

Back 13

ending retained earnings = beginnning retained earnings + net income - dividends

Front 14

Equation underlying retained earnings, substituting for net income

Back 14

ending retained earnings = beginnning retained earnings + revenues - expenses - dividends

Front 15

Expanded Acct Equation

Back 15

Assets = liabilities = contributed capital + ending retained earnings

Front 16

Expanded Acct Equation, substituting for ending retained earnings

Back 16

Assets = liabilities = contributed capital + beginnning retained earnings + revenues - expenses - dividends

Front 17

Accruals
unearned revenue

Back 17

originating entry - record cash receipt annd establish a liability, such as unearned rev.
adjusting entry - reduce the liability while recording revenue

Front 18

Accruals
unbilled revenue

Back 18

originating entry - record revenue and establish an asset, such as unbilled rev.
adjusting entry - when billing occurs, reduce unbilled revenue and increase accounts receivable. when cash is collected, eliminate the recievable

Front 19

Accruals
prepaid expense

Back 19

oiriginating entry - record cash payment and establish and asset, suc as prepaid expense
adjusting entry - reduce the asset while recording expense

Front 20

Accruals
accrued expense

Back 20

originating entry - establish a liability, such as accrued expense and record and expense
adjusting entry - reduce the liability as cash is paid

Front 21

Accounting flow of info

Back 21

journal entries and adjusting entries > general ledger and t- accounts > trial balance and adjusted trial balance > financial statements