Index
449
A
accountants, need for, 58
accounting
conceptual framework, 63–69
designations, 58–59
ethics.
See
ethics
fields of, 58–59
purpose of, 1–2
accounting cycle
adjustments.
See
adjusting entries
closing entries.
See
closing entries
journalizing transactions, 84–86
overview, 81–82
posting to ledger accounts, 86–94
statements.
See
financial statements
transaction analysis, 82–84
trial balance preparation, 94–95
accounting equation, 6–10
accounting information systems
general ledger, 86, 92–93, 311–313
journals.
See
journals
overview, 257–258
returns, 272–273
subsidiary ledgers, 259–273
accounting information users, 57
accounting periods, 6
accounting software, 89, 95–96, 231
Accounting Standards for Private Enterprises
(ASPE)
accounting adjustments, 123
balance sheet statements, 139
classifying income and expenses, 187
LIFO valuation method, 231
overview, 64, 69
public companies, 69
accounts payable, 27
accounts receivable, 27
accrual-based accounting, 10–14
accruals vs. cash flow, 11
accrued expenses, 108–112
accrued revenue, 107–108
accumulated depreciation, 117
accumulated surplus (deficit), 29
actual quantity of inventory, 231–232
adjusting entries
accrued expenses, 108–112
accrued revenue, 107–108
adjusted trial balance, 120–123
controls, 124
correcting entries, 132
depreciation, 117–120
ethics of, 124
overview, 105–107
prepaid expenses, 114–116
unearned revenue, 112–114
allowances
purchases, 177, 206–207
sales, 181–182, 210
Apple Inc., 33
assets
buying, 16–17
current, 150
liquid, 29
long-term, 150–151
selling, 16–17
sequence of, 29
assumptions and principles, 66–69
B
balance sheet
classified, 150–154
comprehensive, 356
defined, 2
overview, 2–4
preparing, 138–139
reading, 349–350
shareholders’ equity, 352–353
INDEX
