Download Alpha Teach Yourself Accounting in 24 Hours by Carol Costa PDF

By Carol Costa

Be a professional very quickly …

perfect for bookkeepers, accounting clerks, and small company proprietors, this sensible advisor is going past basic accounting rules to coach readers tips to organize and deal with their businesses’ books. during this re-creation, readers will locate thoroughly revised and up to date info on dealing with revenues and companies, and up-to-date tax info reflecting alterations within the tax code.

• excellent for the numerous working towards accountants who're unlicensed bookkeepers, accounting clerks, and small enterprise owners
• There are 3.1 million accountants, bookkeepers, and accounting clerks within the U.S.
• There are an expected 23 million small enterprise vendors within the united states, a lot of whom deal with their very own books

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Extra resources for Alpha Teach Yourself Accounting in 24 Hours

Example text

45 46 Hour 4 A manufacturing company provides the best example of the kinds of changes that can occur. A new company begins with one product but then begins to add others. All the products could be included in one Inventory account, but it may be more efficient to set up a new account for each one. Another thing to consider with a manufacturing company is the way the products are put together. An inventory account for the raw materials required to produce the merchandise is often needed. Another inventory account for the finished goods is set up, and still another might be necessary for the merchandise that is still in the production stage.

Refer to Hour 6, “Daily Sales Transactions,” to learn how to post these transactions to the General Ledger. • Debit or Credit. The amount of the transaction will be recorded in either the Debit or the Credit column. The ending balance of the account will also appear in either the Debit or the Credit column, depending on the balance of the account when it is being reviewed. Pads of columned ledger paper can be purchased at any office supply store to help you set up your General Ledger pages. Here is a sample of how the cash accounts will look when they are transferred to the General Ledger: Date Ref.

Each month the following entry would be made: Depreciable Assets, Prepaid Expenses, and Other Accounts Date Reference No. 00 Remember that all expenses relating to the company vehicles are posted in the Auto Expense account. After this entry is posted to the General Ledger, the Prepaid Expense account would look like this: Date Reference No. 00 You can see that the Prepaid Expense account has been reduced by a $200 credit. At the same time, the Auto Expense account has been debited or increased by the same amount.

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