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| Preface | |
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| A Personal/Service-Type Business | |
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| Assets, Liabilities, and Owner's Equity | |
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| Definition of Assets | |
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| Examples of Assets--Personal and Business | |
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| Definition of Liabilities | |
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| Examples of Liabilities--Personal and Business | |
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| Definition of Owner's Equity | |
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| Examples of Owner's Equity | |
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| The Fundamental Bookkeeping Equation: Assets = Liabilities + Owner's Equity | |
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| Variations of the Fundamental Equation | |
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| Business Transactions and Changes in the Fundamental Bookkeeping Equation | |
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| Transactions Increasing Accounts | |
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| Transactions Decreasing Accounts | |
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| Transactions That Increase and Decrease Accounts | |
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| The Balance Sheet | |
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| Purpose, Form, and Content | |
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| Fundamental Bookkeeping Equation | |
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| Changes in Owner's Equity | |
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| The Ledger | |
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| "T" Form of Accounts--Ruled Forms, Debit and Credit | |
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| Opening Account Balances | |
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| Rules for Increases/Decreases in Assets, Liabilities, and Owner's Equity | |
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| Proving the Equality of Debits and Credits | |
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| Owner's Equity Accounts | |
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| Revenue Accounts for Income Earned | |
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| Expenses | |
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| Net Income/Net Loss | |
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| Effect of Revenue/Expenses on Owner's Equity | |
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| Owner's Drawing Account | |
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| Effect of Withdrawal on Owner's Equity | |
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| Two-Column General Journal | |
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| Book of Original Entry | |
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| Source Documents | |
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| Journalizing | |
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| Posting the General Journal | |
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| Posting Procedure | |
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| Journal to Ledger | |
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| Cross Referencing | |
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| Trial Balance | |
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| The Trial Balance and Work Sheet | |
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| Locating Errors | |
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| Errors That the Trial Balance Does Not Reveal | |
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| The Six-Column Work Sheet | |
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| Financial Statements | |
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| Income Statement--Form and Content | |
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| Capital Statement | |
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| Balance Sheet--Form and Content | |
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| Closing the Ledger | |
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| Revenue and Expense Summary | |
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| Accounts Closed/Accounts Open--Ruling, Balancing | |
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| Cash Systems, Checking Accounts | |
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| Opening a Checking Account | |
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| Endorsing Checks | |
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| Making Deposits | |
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| Drawing Checks | |
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| The Bank Statement | |
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| Reconciling Check Stub Balance and Bank Statement | |
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| Two-Column Cashbook | |
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| The Petty Cash Fund | |
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| Purpose of the Fund | |
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| Establishing the Fund | |
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| Making Disbursements | |
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| Proving Petty Cash | |
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| Replenishing the Fund | |
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| Cycle One Examination | |
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| A Merchandising Business | |
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| Purchases of Merchandise | |
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| Purchasing on Account--Accounts Payable | |
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| Purchases Journal | |
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| Posting Creditors' Accounts | |
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| Summarizing the Purchases Journal | |
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| Schedule of Accounts Payable | |
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| Cash Disbursements Journal | |
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| Columnar Journal--Special Columns | |
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| Summarizing the Journal | |
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| Schedule of Accounts Payable | |
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| Source Document for Cash Disbursement | |
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| Sales of Merchandise | |
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| Sales on Account | |
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| Sales Journal and Accounts Receivable Ledger | |
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| Source Documents for Sales Journal Entries | |
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| Posting and Summarizing the Sales Journal | |
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| Schedule of Accounts Receivable | |
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| Cash Receipts Journal | |
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| Purpose of Cash Receipts Journal | |
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| Posting to Accounts | |
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| Summarizing the Cash Receipts Journal | |
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| Schedule of Accounts Receivable | |
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| Expanding the Journal | |
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| Source Documents for Cash Receipts | |
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| General Journal, Four-Column Format | |
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| Sales Returns and Allowances, and Purchases Returns and Allowances | |
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| Source Documents | |
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| Correcting Errors in Ledger Postings | |
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| Statement of Account | |
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| Eight-Column Work Sheet | |
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| Trial Balance | |
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| Adjusting Entries | |
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| Merchandise Inventory | |
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| Supplies | |
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| Other Prepaid Expenses | |
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| Extending Updated Balances | |
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| Determining Net Income or Net Loss | |
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| Financial Statements | |
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| Income Statement | |
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| Capital Statement | |
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| Balance Sheet | |
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| Adjusting and Closing the General Ledger | |
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| Adjusting Accounts | |
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| Closing Accounts | |
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| Post-Closing Trial Balance | |
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| Using a Combination Journal | |
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| Combination Journal for Personal Use | |
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| Combination Journal for Business Use | |
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| Computer Spreadsheets | |
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| Cycle Two Examination | |
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| Answers | |
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| Index | |