Accum. Depr.- Del. Equip. Wages Expense Bal. 1,800 Electricity Еxpense 185.1 511 533 Bal. 100 Bal. 44 Wages Payable Advertising Expense Insurance Expense 30 219 512 535 Bal. 200 Bal. 80 Bal Saburo Goto, Сapital Bal. Rent Expense Bal. 500 Gas and Oil 311 521 Expense 538 4,000 Bal. 38 Saburo Goto, Drawing 312 Supplies Еxpense Depr. Exp.- Del. Equip. 541 523 Bal. 800 Bal. 120 Bal. 100 Income Phone Miscellaneous Summary 313 Expense 525 Expense 549 Bal. 58 Bal. 33 Delivery Fees 401 Bal. 2,200
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
CLOSING ENTRIES (NET LOSS) Using the following partial listing of T
accounts, prepare closing entries in general journal form dated January
31, 20--. Then
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