What is the purpose of the other adjustments account (OAA)? What types of items increase it or decrease it? What is the purpose of the accumulated adjustments account (AAA)? What types of items increase it or decrease it?

Q: How is a correction of an accounting error made?

A: Accounting error:   It is a non-fraudulent discrepancy in the financial documents of an…

Q: effect of purchase on account on current rattion

A: Current Ratio (CR): It is one of the liquidity ratios which measures the company’s ability to pay…

Q: When are contingent fees allowed?

A:

Q: how does the change in accounting of nonrecurring items?

A: Non Recurring items are the ones that do not occur frequently.

Q: Why does the accruals that involve internal transactions require adjusting entries?

A: Adjusting entries are internal transactions that update account balances in accordance with accrual…

Q: Assets created by payments that expire as they are used are called?

A: The assets are resources that are owned by the individual or organization. The assets are in…

Q: Where does Unearned Subscriptions Revenue lie to at a classified Balance Sheet?

A: Unearned Subscription Revenue is a business income which has been received from the client but not…

Q: if a trial balance or income state, etc... is post-closing, unadjusted, or adjusted?

A: Trail balance is prepared by the company with an aim to know and verify that the posting entries…

Q: Difference between deferral of expenses/revenue and accrued expenses/ revenue?

A: The business adjust the profits of the business for the current year considering deferred and…

Q: What is non-posted interest on statements? Please explain.

A: The answer is stated below:

Q: how do you do an adjusted trial balance sheet to it?

A: Adjusted Trial Balance - Adjusted Trial Balance is a Summary of all the ledgers after posting…

Q: How do the asset, revenue and expense accounts differ?

A: The assets and liabilities are posted in the balance sheet that shows the financial position of the…

Q: What are the differences between assets and expenses

A: Definition of Assets: Properties or things owned by business

Q: Correcting a prior period entry requires a prior period adjustment to what account?

A: Prior period adjustment entry is an entry recorded in the current year to modify or correct an entry…

Q: What is the concept underlying the current rate method of translation? What is the concept…

A: There are two main methods of currency translation accounting: The current method -when the…

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.