上海海事外國會計選讀chapter04ppt課件

1、1. Accounting CycleFinancial Statements Adjusting and Closing Entries Fiscal YearAccounting Cycle 會計循環(huán)vThe process that begins with analyzing and journalizing transactions and ends with summarizing and reporting these transactions is called the accounting cycle.vThe most important output of the acco

2、unting cycle is the financial statementsSeven Basic Steps of the Accounting Cycle1. Transactions are analyzed and recorded in the journal.2. Transactions are posted to the ledger.3. A trial balance is prepared, adjustment data are assembled, and an optional work sheet is completed.4. Financial state

3、ments are prepared.5. Adjusting entries are journalized and posted.6. Closing entries are journalized and posted.7. A post-closing trial balance is prepared.Classified Balance SheetvClassified Balance Sheet: A balance sheet that groups the accounts into subcategories to help readers quickly gain a p

4、erspective on the companys financial positionvAssets: grouped into current assets and long-term assetsvLiabilities: grouped into current liabilities and long-term liabilitiesClassification of AssetsvCurrent Assets 流動資產:Cash plus assets that are expected to be converted to cash or sold or consumed du

5、ring the next 12 months or within the normal operating cycle of longer than a yearvMonetary assets: Assets that have a fixed monetary exchange value and are not affected by a change in the price level.vCashvAccount receivablevNote receivablevNonmonetary assetsvInventoryvPrepaid expensesvLong-term As

6、sets/Long-lived Assets 長期資產: Resources that are held for an extended timevLand, building, equipment, natural resources, and patents.Classification of LiabilitiesvCurrent Liabilities 流動負債:Liabilities that fall due within the coming year or within the normal operation cycle if longer than a yearvNote

7、payablevAccounts payablevUnearned rent revenuevWages payablevInterest payablevIncome taxes payablevLong-term Liabilities 長期負債: Obligations that fall due beyond one year from the balance sheet datevLong-term debtFormats of Balance SheetsvAccount format賬戶式）vAsset at the leftvReport format(報告式）vAsset o

8、n the topIncome StatementvSingle-step income statement 單步式vIt groups all revenues together and then lists and deducts all expenses together without drawing any intermediate subtotalsvMultiple-step income statement 多步式vIt contains one or more subtotals that highlight significant relationshipsvAdjusti

9、ng entries are recorded in the journal at the end of the accounting period.Close entriesvClosing entries / Closing process 關賬vClosing process is a process that final entries at the end of an accounting period to transfer the income and expenses items to the balance sheet accounts.v The Income Summar

10、y 利潤匯總賬戶 account is used only for the closing process. The Income Summary is debited for a companys revenues, and is credited for a companys expenses. vThe entries that transfer the balances of revenues and that of the expenses are called closing entries 結賬分錄v The revenue and expense account balance

11、s are reset to zero and the net income (net loss) generated during the period increases (decreases) retained income.vReal accounts 實賬戶vthe accounts: asset, liability, reserve and capital - whose balances are not canceled out at the end of an accounting period, but are carried over to the next period

12、. These accounts appear on the post-closing trial balance and the statement of condition (balance sheet). Also called permanent accounts. vTemporary accounts / nominal accounts 虛賬戶vAccounts which are concerned with revenue and expenses, such as sales, purchases, etc Income SummaryRevenues are transf

13、erred to Income SummaryExpenses are transferred to Income SummaryNet Income or Net Loss is transferred to Owners CapitalDrawings are transferred to Owners CapitalIncome SummaryRevenues are transferred to Income SummaryExpenses are transferred to Income SummaryNet Income or Net Loss is transferred to

14、 Owners CapitalDrawings are transferred to Owners CapitalWages ExpenseBal.4,525Rent ExpenseBal.1,600Depreciation ExpenseBal.50Utilities ExpenseBal.985Supplies ExpenseBal.2,040Insurance ExpenseBal.100Miscellaneous ExpenseBal.455Fees EarnedBal. 16,840Rent RevenueBal.120Chris Clark, CapitalBal. 25,000C

15、hris Clark, DrawingBal.4,000Income SummaryWages ExpenseBal.4,525Rent ExpenseBal.1,600Depreciation ExpenseBal.50Utilities ExpenseBal.985Supplies ExpenseBal.2,040Insurance ExpenseBal.100Miscellaneous ExpenseBal.455Fees EarnedBal. 16,840Rent RevenueBal.120Chris Clark, CapitalBal. 25,000Chris Clark, Dra

16、wingBal.4,000Income SummaryDebit each revenue account for the amount of its balance, and credit Income Summary for the total revenue.16,84012016,960Wages ExpenseBal.4,525Rent ExpenseBal.1,600Depreciation ExpenseBal.50Utilities ExpenseBal.985Supplies ExpenseBal.2,040Insurance ExpenseBal.100Miscellane

17、ous ExpenseBal.455Chris Clark, CapitalBal. 25,000Chris Clark, DrawingBal.4,000Income SummaryDebit Income Summary for the total expenses and credit each expense account for its balance.Fees EarnedBal. 16,840Rent RevenueBal.12016,84012016,9609,7754551002,040985501,6004,525Wages ExpenseBal.4,525Rent Ex

18、penseBal.1,600Depreciation ExpenseBal.50Utilities ExpenseBal.985Supplies ExpenseBal.2,040Insurance ExpenseBal.100Miscellaneous ExpenseBal.455Chris Clark, CapitalBal. 25,000Chris Clark, DrawingBal.4,000Income SummaryDebit Income Summary for the amount of its balance (in this case, the net income) and

19、 credit the capital account.Fees EarnedBal. 16,840Rent RevenueBal.12016,84012016,9609,7754551002,040985501,6004,5257,2057,205Wages ExpenseBal.4,525Rent ExpenseBal.1,600Depreciation ExpenseBal.50Utilities ExpenseBal.985Supplies ExpenseBal.2,040Insurance ExpenseBal.100Miscellaneous ExpenseBal.455Chris

20、 Clark, CapitalBal. 25,000Chris Clark, DrawingBal.4,000Income SummaryDebit the capital account for the balance of the drawing account, and credit drawing for the same amount.Fees EarnedBal. 16,840Rent RevenueBal.12016,84012016,9609,7754551002,040985501,6004,5257,2057,2054,0004,000Wages ExpenseBal.4,

21、525Rent ExpenseBal.1,600Depreciation ExpenseBal.50Utilities ExpenseBal.985Supplies ExpenseBal.2,040Insurance ExpenseBal.100Miscellaneous ExpenseBal.455Chris Clark, CapitalBal. 25,000Chris Clark, DrawingBal.4,000Income SummaryFees EarnedBal. 16,840Rent RevenueBal.12016,48012016,9609,7754451002,040985

22、501,6004,5257,2057,2054,0004,000Close EntriesvFees Earned16840v Rent Revenue 120vIncome Summary16960vIncome Summary9755v Wages Expense4525vRent Expense1600vDepreciation Expense 50vUtilities Expense 985vSupplies Expense2040vInsurance Expense 100vMiscellaneous Expense 455vIncome Summary7205v Chris Cla

23、rk, Capital7025vChris Clark, capital4000v Chris Clark, Drawing4000After the closing entries are posted, all of the temporary accounts have zero balances.NetSolutionsPost-Closing Trial BalanceDecember 31, 2019Cash2 065 00Accounts Receivable2 720 00Supplies760 00Prepaid Insurance2 300 00Land20 000 00Office Equipment1 800 00Accumulated Depreciation50 00Accounts Payable900 00Wages Payable250 00Unearned Rent240 00Chris Clark, Capital28 205 0029 645 0029 645 001. Transactions are analyzed and recorded in journal.DocumentsJournal2. T