Century 21 Accounting, 8e - Cengage · Chapter 3 Recording Transactions in a General Journal ......
Transcript of Century 21 Accounting, 8e - Cengage · Chapter 3 Recording Transactions in a General Journal ......
Century 21 Accounting, 9e General Journal Chapter Outlines
PART 1 ACCOUNTING FOR A SERVICE BUSINESS ORGANIZED AS A
PROPRIETORSHIP Chapter 1 Starting A Proprietorship: Changes that Affect the Accounting
Equation The Accounting Equation
What Is Accounting? The Business—TechKnow Consulting The Accounting Equation
How Business Activities Change the Accounting Equation Receiving Cash
Received Cash from Owner as an Investment Paying Cash Paid Cash for Supplies Paid Cash for Insurance Transactions on Account
Bought Supplies on Account Paid Cash on Account
How Transactions Change Owner’s Equity in an Accounting Equation Revenue Transactions Received Cash from Sales Sold Services on Account Expense Transactions Paid Cash for Rent Paid Cash for Telephone Bill Other Cash Transactions Received Cash on Account Paid Cash to Owner for Personal Use Summary of Changes in Owner’s Equity
© 2009 South-Western, Cengage Learning
Chapter 2 Analyzing Transactions into Debit and Credit Parts Using T Accounts
Analyzing the Accounting Equation Accounts Account Balances Increases and Decreases in Accounts
Analyzing How Transactions Affect AccountsReceived Cash from Owner as an Investment Paid Cash for Supplies Paid Cash for Insurance Bought Supplies on Account Paid Cash on Account
Analyzing How Transactions Affect Owner’s Equity Accounts Received Cash from Sales Sold Services on Account Paid Cash for an Expense Received Cash on Account Paid Cash to Owner for Personal Use
© 2009 South-Western, Cengage Learning
Chapter 3 Recording Transactions in a General Journal Journals, Source Documents, and Recording Entries in a Journal
Journals and Journalizing A General Journal
Using a Journal Accuracy Chronological Record Double-Entry Accounting Source Documents
Checks Sales Invoices Other Source Documents
Receipts Memorandums Calculator Tapes
Received Cash from Owner as an Investment Paid Cash for Supplies
Journalizing Buying Insurance, Buying on Account, and Paying on Account Paid Cash for Insurance Bought Supplies on Account Paid Cash on Account
Journalizing Transactions that Affect Owner’s Equity and Receiving Cash on Account Received Cash from Sales Sold Services on Account Paid Cash for an Expense Received Cash on Account Paid Cash to Owner for Personal Use
Starting a New Journal Page A Completed Journal Page Starting a new General Journal Page Standard Accounting Practices
© 2009 South-Western, Cengage Learning
Chapter 4 Posting from a General Journal to a General Ledger Preparing a Chart of Accounts
Account Form Relationship of a T Account to an Account Form Chart of Accounts
Preparing a Chart of Accounts Account Numbers
Assigning Account Numbers Opening an Account in a General Ledger
Posting from a General Journal to a General Ledger Posting an Amount from the Debit Column of a General Journal Posting an Amount from the Credit Column of a General Journal Posting a Debit Amount to an Account with a Balance Journal Page with Posting Completed
Completed General Ledger, Proving Cash, and Making Correcting Entries General Ledger with Posting Completed Proving Cash Memorandum for a Correcting Entry Journal Entry to Record a Correcting Entry
© 2009 South-Western, Cengage Learning
Chapter 5 Cash Control Systems Checking Accounts
How Businesses Use Cash Depositing Cash Deposit Recorded on a Check Stub Blank Endorsement, Special Endorsement, and Restrictive Endorsement
Blank Endorsement Special Endorsement Restrictive Endorsement
Completed Check Stub and Check Recording a Voided Check
Bank Reconciliation Bank Statement Bank Statement Reconciliation Recording a Bank Service Charge on a Check Stub Journalizing a Bank Service Charge
Dishonored Checks and Electronic Banking Recording a Dishonored Check on a Check Stub Journalizing a Dishonored Check Journalizing an Electronic Funds Transfer Journalizing a Debit Card Transaction
Petty Cash Establishing a Petty Cash Fund Making Payments from a Petty Cash Fund with a Petty Cash Slip Replenishing Petty Cash
© 2009 South-Western, Cengage Learning
Chapter 6 Work Sheet for a Service Business Creating a Work Sheet
Consistent Reporting Fiscal Periods Work Sheet Preparing the Heading of a Work Sheet Preparing a Trial Balance on a Work Sheet
Planning Adjusting Entries on a Work Sheet Planning Adjustments on a Work Sheet Supplies Adjustment on a Work Sheet Prepaid Insurance Adjustment on a Work Sheet Proving the Adjustments Columns of a Work Sheet Summary of Preparation of a Work Sheet for a Service Business Preparing a Work Sheet
Extending Financial Statement Information on a Work Sheet Extending Balance Sheet Account Balances on a Work Sheet Extending Income Statement Account Balances on a Work Sheet Recording Net Income, and Totaling and Ruling a Work Sheet Calculating and Recording a Net Loss on a Work Sheet
Finding and Correcting Errors on the Work Sheet Correcting Accounting Errors on the Work Sheet Checking for Typical Calculation Errors Checking for Errors in the Work Sheet
Check for Errors in the Trial Balance Column Check for Errors in the Adjustments Columns Check for Errors in the Income Statement and Balance Sheet Columns
Correcting an Error in Posting to the Wrong Acc Correcting an Incorrect Amount and an Amount Posted to the Wrong Column Checking for Errors in Journal Entries Preventing Errors
© 2009 South-Western, Cengage Learning
Chapter 7 Financial Statements for a Proprietorship Preparing an Income Statement
Reporting Financial Information Income Statement Information on a Work Sheet Heading of an Income Statement Revenue, Expenses, and Net Income Sections of an Income Statement Component Percentage Analysis of an Income Statement
Acceptable Component Percentages Total Expenses Component Percentage Net Income Component Percentage
Income Statement with Two Sources of Revenue and a Net Loss Balance Sheet Information on a Work Sheet
Balance Sheet Heading of a Balance Sheet Assets and Liabilities Sections of a Balance Sheet Owner’s Equity Section of a Balance Sheet Owner’s Equity Reported in Detail on a Balance Sheet
© 2009 South-Western, Cengage Learning
Chapter 8 Recording Adjusting and Closing Entries for a Service Business Adjusting Entries Recording Adjusting Entries
Adjusting Entries Adjusting Entry for Supplies Adjusting Entry for Prepaid Insurance
Recording Closing Entries Need for Permanent and Temporary Accounts Need For Closing Temporary Accounts Need for the Income Summary Account Closing Entry for an Income Statement Account with a Credit Balance Closing Entry for Income Statement Accounts with Debit Balances Closing Entry to Record Net Income or Loss and Close the Income Summary
Account Closing Entry for the Owner’s Drawing Account
Preparing a Post-Closing Trial Balance General Ledger Accounts after Adjusting and Closing Entries Are Posted Post-Closing Trial Balance Accounting Cycle for a Service Business
© 2009 South-Western, Cengage Learning
PART 2 ACCOUNTING FOR A MERCHANDISING BUSINESS ORGANIZED AS A CORPORATION
Chapter 9 Journalizing Purchases and Cash Payments Journalizing Purchases Using a Purchases Journal
Merchandising Businesses The Business—Hobby Shack, Inc. Using Special Journals Purchasing Merchandise Purchases on Account Purchases Journal Purchase Invoice Purchasing Merchandise on Account Totaling and Ruling a Purchases Journal
Journalizing Cash Payments Using a Cash Payments Journal Cash Payments Journal Cash Payment of an Expense Buying Supplies for Cash Cash Payments for Purchases
Trade Discount Cash Purchases
Cash Payments on Account with Purchases Discounts Cash Payments on Account without Purchases Discounts
Performing Additional Cash Payments Journal Operations Petty Cash Report Replenishing a Petty Cash Fund Totaling, Proving, and Ruling a Cash Payments Journal Page to Carry Totals Forward Starting a New Cash Payments Journal Page Totaling, Proving, and Ruling a Cash Payments Journal at the End of a Month
Journalizing Other Transactions Using a General Journal General Journal Memorandum for Buying Supplies on Account Buying Supplies on Account Debit Memorandum for Purchases Returns and Allowances Journalizing Purchases Returns and Allowances
© 2009 South-Western, Cengage Learning
Chapter 10 Journalizing Sales and Cash Receipts Using Special Journals Journalizing Sales on Account Using a Sales Journal
Sales Tax Sales of Merchandise on Account Sales Journal Sales Invoice Sale on Account Totaling, Proving, and Ruling a Sales Journal
Journalizing Cash Receipts Using a Cash Receipts Journal Processing Sales Transactions Processing Credit Cards Cash Receipts Journal Cash and Credit Card Sales Cash Receipts on Account Calculating Cash Receipts on Account with Sales Discount Journalizing Cash Receipts on Account with Sales Discounts Totaling, Proving, and Ruling a Cash Receipts Journal Proving Cash at the End of a Month
Recording Transactions Using a General Journal Credit Memorandum for Sales Returns and Allowances
Sales Returns and Allowances Journalizing Sales Returns and Allowances
© 2009 South-Western, Cengage Learning
Chapter 11 Posting To General and Subsidiary Ledgers Posting to an Accounts Payable Ledger
Ledgers and Controlling Accounts General Ledger Subsidiary Ledgers
Accounts Payable Ledger and General Ledger Controlling Account Accounts Payable Ledger Forms Posting from a Purchases Journal to an Accounts Payable Ledger Posting from a Cash Payments Journal to an Accounts Payable Ledger Posting Credit and Debit Entries from a General Journal to an Accounts Payable Completed Accounts Payable Ledger Proving the Accounts Payable Ledger
Posting to an Accounts Receivable Ledger Accounts Receivable Ledger and General Ledger Controlling Account Accounts Receivable Ledger Forms Posting From a Sales Journal to an Accounts Receivable Ledger Posting From a Cash Receipts Journal to an Accounts Receivable Ledger Posting a Credit Entry from a General Journal to an Accounts Receivable Ledger Completed Accounts Receivable Ledger Proving the Accounts Receivable Ledger
Posting from Journals to a General Ledger Starting a New Page for an Account in a General Ledger Posting from the General Amount Columns of a Cash Payments Journal to a General
Ledger Posting a Debit Entry from a General Journal to a General Ledger Posting a Credit Entry from a General Journal to a General Ledger
Posting Special Journal Totals to a General Ledger Posting the Total of a Purchases Journal to a General Ledger Posting Special Amount Column Totals of a Cash Receipts Journal to a General
Ledger Posting Special Amount Column Totals of a Cash Payments Journal to a General
Ledger Order of Posting from Special Journals
Correcting Errors in Subsidiary Ledger Accounts Journalizing Correcting Entries Affecting Customer Accounts Posting Correcting Entries Affecting Customer Accounts
© 2009 South-Western, Cengage Learning
Chapter 12 Preparing Payroll Records Preparing Payroll Time Cards
Paying Employees Analyzing a Payroll Time Card Calculating Employee Hours Worked Calculating Employee Total Earnings
Determining Payroll Tax Withholding Payroll Taxes
Employee Income Tax Employee’s Withholding Allowance Certificate Employee’s Income Tax Withholding—Single Persons Employee’s Income Tax Withholding—Married Persons Employee Social Security and Medicare Tax
Preparing Payroll Records Payroll Register Employee Earnings Records
Preparing Payroll Checks Payroll Bank Account Employee’s Payroll Check Electronic Funds Transfer
© 2009 South-Western, Cengage Learning
Chapter 13 Payroll Accounting, Taxes, and Reports Recording a Payroll
Different Forms of Payroll Information Payroll Register Analyzing Payment of a Payroll Journalizing Payment of a Payroll
Recording Employer Payroll Taxes Calculating Employer Payroll Taxes
Employer Social Security and Medicare Taxes Unemployment Taxable Earnings Unemployment Taxes
Federal Unemployment Tax State Unemployment Tax
Journalizing Employer Payroll Taxes Reporting Withholding and Payroll Taxes
Employer Annual Report to Employees of Taxes Withheld Employer’s Quarterly Federal Tax Return Preparing Employer’s Quarterly Federal Tax Return Employer Annual Reporting of Payroll Taxes
Paying Withholding and Payroll Taxes Paying the Liability for Employee Income Tax, Social Security Tax, and Medicare
Tax Form 8109, Federal Deposit Coupon Journalizing Payment of Liability for Employee Income Tax, Social Security Tax,
and Medicare Tax Paying the Liability for Federal Unemployment Tax Journalizing Payment of Liability for Federal Unemployment Tax Journalizing Payment of Liability for State Unemployment Tax
© 2009 South-Western, Cengage Learning
Chapter 14 Distributing Dividends and Preparing a Work Sheet for a Merchandising Business
Distributing Corporate Earnings to Stockholders
Financial Information Stockholders’ Equity Accounts Used by a Corporation Declaring a Dividend Paying a Dividend
Beginning an 8-Column Work Sheet for a Merchandising Business Entering a Trial Balance on a Work Sheet Planning Adjustments on a Work Sheet Recording a Trial Balance on a Work Sheet Analyzing and Recording Supplies Adjustments
Analyzing Supplies Adjustments Recording Supplies Adjustments on a Work Sheet Analyzing and Recording a Prepaid Insurance Adjustment
Analyzing a Prepaid Insurance Adjustment Recording a Prepaid Insurance Adjustment
Planning and Recording a Merchandise Inventory Adjustment Merchandise Inventory Analyzing and Recording a Merchandise Inventory Adjustment
Analyzing an Adjustment When Ending Merchandise Inventory Is Greater Than Beginning Merchandise Inventory
Planning and Recording an Allowance for Uncollectible Accounts Adjustment Allowance Method of Recording Losses from Uncollectible Accounts Estimating Uncollectible Accounts Expense Analyzing and Recording an Adjustment for Uncollectible Accounts Expense
Planning and Recording Depreciation Adjustments Categories of Assets
Depreciating Plant Assets Calculating Depreciation Expense and Book Value
Straight-Line Depreciation Calculating Accumulated Depreciation Calculating Book Value
Analyzing and Recording Adjustments for Depreciation Expense Calculating Federal Income Tax and Completing a Work Sheet
Federal Income Tax Expense Adjustment Calculating Federal Income Tax Recording the Federal Income Tax Adjustment Completing a Work Sheet A Completed 8-Column Work Sheet A 10-Column Work Sheet (left page) A 10-Column Work Sheet (right page)
© 2009 South-Western, Cengage Learning
Chapter 15 Financial Statements for a Corporation Preparing an Income Statement
Uses of Financial Statements Income Statement Information on a Work Sheet Revenue Section of an Income Statement for a Merchandising Business Cost of Merchandise Sold Section of an Income Statement for a Merchandising
Business Completing an Income Statement for a Merchandising Business
Analyzing an Income Statement Using Component Percentages
Acceptable Component Percentages Analysis of Component Percentages
Cost of Merchandise Sold Component Percentage Gross Profit on Sales Component Percentage Total Expenses Component Percentage Net Income before Federal Income Tax Component Percentage
Analyzing an Income Statement Showing a Net Loss Actions to Correct Unacceptable Component Percentages
Unacceptable Component Percentage for Gross Profit on Sales Unacceptable Component Percentage for Total Expenses Unacceptable Component Percentage for Net Income before Federal Income Tax
Financial Ratios Earnings per Share Price-Earnings Ratio
Preparing a Statement of Stockholders’ Equity Capital Stock Section of the Statement of Stockholders’ Equity Retained Earnings Section of the Statement of Stockholders’ Equity
Preparing a Balance Sheet Balance Sheet Information on a Work Sheet Current Assets Section of a Balance Sheet Plant Assets Section of a Balance Sheet Liabilities Section of a Balance Sheet Stockholders’ Equity Section of a Balance Sheet Completed Balance Sheet Supporting Schedules for a Balance Sheet
© 2009 South-Western, Cengage Learning
Chapter 16 Recording Adjusting and Closing Entries for a Corporation Recording Adjusting Entries
Adjusting Entries Recorded from a Work Sheet Adjusting Entry for Allowance for Uncollectible Accounts Adjusting Entry for Merchandise Inventory Adjusting Entry for Supplies—Office Adjusting Entry for Supplies—Store Adjusting Entry for Prepaid Insurance Adjusting Entry for Depreciation—Office Equipment Adjusting Entry for Depreciation—Store Equipment Adjusting Entry for Federal Income Taxes
Recording Closing Entries for Income Statement Accounts The Income Summary Account Closing Entry for Accounts with Credit Balances Closing Entry for Income Statement Accounts with Debit Balances Summary of Closing Entry for Income Statement Accounts with Debit Balances Closing Entry to Record Net Income Closing Entry for Dividends Completed Closing Entries for a Corporation Recorded in a Journal
Preparing a Post-Closing Trial Balance Completed General Ledger After Adjusting and Closing Entries Are Posted Post-Closing Trial Balance Accounting Cycle for a Merchandising Business Organized as a Corporation
© 2009 South-Western, Cengage Learning
PART 3 ACCOUNTING FOR A MERCHANDISING BUSINESS ORGANIZED AS A CORPORATION—ADJUSTMENTS AND VALUATION
Chapter 17 Accounting for Uncollectible Accounts Receivable Uncollectible Accounts
The Business—Restaurant Supply Co. Estimating and Recording Uncollectible Accounts Expense Analyzing and Journalizing an Adjustment for Uncollectible Accounts Expense Posting an Adjusting Entry for Uncollectible Accounts Expense
Writing Off and Collecting Uncollectible Accounts Receivable Journalizing Writing Off an Uncollectible Account Receivable Posting an Entry to Write Off an Uncollectible Account Receivable Reopening an Account Previously Written Off Recording Cash Received for an Account Previously Written Off Posting Entries for Collecting a Written-Off Account Receivable
© 2009 South-Western, Cengage Learning
Chapter 18 Accounting for Plant Assets and Depreciation Buying Plant Assets and Paying Property Tax
Recording the Buying of a Plant Asset Calculating and Paying Property Tax
Calculating Depreciation Expense Straight-Line Depreciation Calculating Depreciation Expense for Part of a Year Calculating Accumulated Depreciation and Book Value
Calculating Accumulated Depreciation Calculating Book Value
Journalizing Depreciation Expense Preparing Plant Asset Records Journalizing Annual Depreciation Expense Posting an Adjusting Entry for Depreciation Expense
Disposing of Plant Assets Sale of a Plant Asset for Book Value Recording a Plant Asset’s Depreciation Expense for a Partial Year Sale of a Plant Asset for More than Book Value Sale of a Plant Asset for Less than Book Value
Declining-Balance Method of Depreciation Calculating Depreciation Using the Double Declining-Balance Method Calculating the Last Year’s Depreciation Expense Comparison of Two Methods of Depreciation
© 2009 South-Western, Cengage Learning
Chapter 19 Accounting for Inventory Determining the Quantity of Merchandise Inventory
Why Merchandise Inventory Is Important The Most Efficient Quantity of Inventory Methods Used to Determine the Quantity of Merchandise Inventory Inventory Record Stock Record Perpetual Inventory Using a Computer
Determining the Cost of Merchandise Inventory First-In, First-Out Inventory Costing Method Last-In, First-Out Inventory Costing Method Weighted-Average Inventory Costing Method Calculating the Cost of Merchandise Sold Comparison of Inventory Methods
Estimating Inventory Gross Profit Method of Estimating Inventory Estimating Inventory for Other Months
© 2009 South-Western, Cengage Learning
Chapter 20 Accounting for Notes and Interest Promissory Notes
When Lending and Borrowing Are Necessary Uses of Promissory Notes Interest on Promissory Notes Maturity Date of Promissory Notes
Notes Payable Signing a Note Payable Paying Principal and Interest on a Note Payable Signing a Note Payable for an Extension of Time Paying a Note Payable Issued for an Extension of Time
Notes Receivable Accepting a Note Receivable from a Customer Collecting Principal and Interest on a Note Receivable Recording a Dishonored Note Receivable
© 2009 South-Western, Cengage Learning
Chapter 21 Accounting for Accrued Revenue and Expenses Accrued Revenue
Accounting for Interest at the Fiscal Year End Analyzing an Adjustment for Accrued Interest Income Posting an Adjusting Entry for Accrued Interest Income Reversing Entry for Accrued Interest Income Collecting a Note Receivable Issued in a Previous Fiscal Period
Accrued Expenses Analyzing an Adjustment for Accrued Interest Expense Posting an Adjusting Entry for Accrued Interest Expense Reversing Entry for Accrued Interest Expense Paying a Note Payable Signed in a Previous Fiscal Period Effect of Not Using Reversing Entries
© 2009 South-Western, Cengage Learning
Chapter 22 End-Of-Fiscal-Period Work for a Corporation Preparing a Work Sheet for a Corporation
Preparing Financial Statements Use of a Work Sheet
Entering a Trial Balance on a Work Sheet Planning Adjustments on a Work Sheet
Interest Income Adjustment Supplies Adjustment Federal Income Tax Adjustment Completing a Work Sheet Completed Work Sheet
Preparing an Income Statement Income Statement Uses of an Income Statement Analyzing an Income Statement
Acceptable Component Percentages Preparing a Statement of Stockholders’ Equity and Balance Sheet
Statement of Stockholders’ Equity Balance Sheet Preparing a Balance Sheet
Assets Liabilities Stockholders’ Equity
Analyzing a Balance Sheet Working Capital Current Ratio
Adjusting, Closing, and Reversing Entries for a Corporation Adjusting Entries Closing Entries for a Corporation Closing Entry for Accounts with Credit Balances Closing Entry for Accounts with Debit Balances Closing Entry to Record Net Income Closing Entry for Dividends Reversing Entries Accounting Cycle for a Merchandising Business Organized as a Corporation
© 2009 South-Western, Cengage Learning
PART 4 ADDITIONAL ACCOUNTING PROCEDURES Chapter 23 Accounting for Partnerships Forming a Partnership
Partnerships The Business—GiftPak Company Partnership Agreements Initial Investments by Owners Withdrawal of Cash by Partner Withdrawal of Merchandise by Partner
Distribution of Net Income and Owners’ Equity Statements Distribution of Net Income Statement Distribution of Net Income Statement with Unequal Distribution of Earnings Partners’ Capital and Drawing Accounts Owners’ Equity Statement Owners’ Equity Statement with an Additional Investment and a Net Loss Balance Sheet for a Partnership
Dissolving a Partnership Account Balances Before Realization Gain on Realization Recognizing a Gain on Realization Loss on Realization Liquidating Liabilities Account Balances After Liquidation of Noncash Assets and Payment of Liabilities Distributing Loss or Gain on Realization to Partners Distributing Remaining Cash to Partners
© 2009 South-Western, Cengage Learning
Chapter 24 Recording International and Internet Sales Recording International Sales
International Sales International Sales Compared with Domestic Sales Processing an International Sale Collecting Payment for an International Sale Journalizing an International Sale Journalizing Time Drafts Journalizing Cash Receipts from Time Drafts
Trade Acceptances Recording Internet Sales
Internet Sales Journalizing an Internet Sale
© 2009 South-Western, Cengage Learning