Accounting the language of business
This presentation is the property of its rightful owner.
Sponsored Links
1 / 11

Accounting—The Language of Business PowerPoint PPT Presentation


  • 323 Views
  • Uploaded on
  • Presentation posted in: General

Accounting—The Language of Business. Lecture Presentation 1-2 How Business Activities Change the Accounting Equation. Learning Objectives. Define accounting terms related to starting a service business organized as a proprietorship and to changes that affect the accounting equation.

Download Presentation

Accounting—The Language of Business

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Accounting the language of business

Accounting—The Language of Business

Lecture Presentation

1-2

How Business Activities Change the Accounting Equation


Learning objectives

Learning Objectives

Define accounting terms related to starting a service business organized as a proprietorship and to changes that affect the accounting equation.

Identify accounting concepts and practices related to starting a service business organized as a proprietorship and to changes that affect the accounting equation.

Analyze how transactions affect accounts in an accounting equation


Some vocabulary pg 10

Some Vocabulary: Pg. 10

Transaction=

ACCOUNTING CONCEPT : Unit of Measurement=


A few more concepts pg 10

A Few More Concepts: Pg. 10

Account =

Examples :

Account Title=

Account Balance =

Capital =


Transactions receiving cash pg 10

Transactions: Receiving Cash, Pg. 10

Transaction 1: August 1st. Received cash from owner as an investment, $5,000

What Accounts are affected?


Transactions paying cash pg 11

Transaction 2: August 3rd. Paid cash for supplies, $275.00

What accounts are affected

Transactions: Paying Cash, Pg. 11


Transactions paid cash for insurance pg 11

Transaction 3: August 4th. Paid cash for insurance, $1,200.00

What accounts are affected

Transactions: Paid Cash for Insurance, Pg. 11


Transactions on account bought supplies on account pg 12

Transaction 4: August 7th. Bought supplies on account from Supply Depot, $500

What accounts are affected

Transactions on Account: Bought Supplies on Account. Pg. 12


Transactions on account paid cash on account pg 12

Transaction 5: August 11th. Paid cash on account to Supply Depot, $300.00.

What accounts are affected

Transactions on Account: Paid Cash on Account. Pg. 12


Term review audit understanding

Term Review & Audit Understanding

Transaction

Account

Account Title

Account Balance

Capital

What must be done if a transaction increases the left side of the accounting equation?

How can a transaction affect only one side of the accounting equation?

To what does the phrase on account refer?


Work together on your own

Work Together/On Your Own

  • Page 13…Work Together 1-2

  • Page 13…On Your Own 1-2

  • Page 19-21…

    • Application Problem 1-2

    • Application Problem 1-3

  • Page 23…

    • Read Cases for Critical Thinking (Case 1)

  • Page 23…

    • Analyzing Best Buy’s Financial Statements

    • Answer questions 1 & 2


  • Login