3. Accounting Equation
The accounting equation is cornerstone for double-entry bookkeeping. It states that resources (also known as...
4. Expanded Accounting Equation
The fundamental accounting equation is extended to incorporate new components like owner’s capital, common shares,...
1. Accounting Cycle
The accounting cycle is the process of recording, classifying, and summarizing financial transactions to provide...
2. Journal Entries
Journal entries are the first step in the accounting cycle and are used to record...
3. Ledger Accounts
A ledger account is a record of financial transactions that relate to a specific asset,...
5. Adjusted Trial
An adjusted trial balance is a financial statement that lists the balances of all the...
7. Adjusting Entries
Adjusting entries are entries made in the accounting records at the end of an accounting...
8. Closing Entries
Closing entries, also known as closing the books, are journal entries made at the end...
11. Reversing Entries
Reversing entries, also known as reversing entries, are journal entries made at the beginning of...