chapter3.ppt

Telephone Expense 800 Loan 20,000
Cash • Paid cash $800 for 20,000 800 telephone bill .
Key points:
•Double-entry bookkeeping and the rules of debit and credit are based on the accounting equation. •Each transaction affects at least two accounts. • For every transaction, there must be at least one debit and one credit. • Total debits must always equal total credits for each transaction. Debits = Credits •Debits are always entered on the left side of an account and credits on the right side.
•
4. Closing off the ledger accounts
（1） Assets &liabilities ledger accounts: 余 额结转下期 --- balance c/f （放到金额小的一方） --- balance b/f （真正的余额方向）
Closing off the ledger accounts
Recording cash transactions
(1) Kamran pays $80 for rent by cheque. (2) Kamran sells goods for $230 cash which he banks. (3) He then takes $70 out of the business for his personal living expense. (4) Kamran sells more goods for cash, receiving $3,400.
Chapter 3 Double entry bookkeeping
Learning objectives:
• • • • • • • • • • Double entry bookkeeping 复式记账 Ledger accounts, debit & credit principle分类账及借贷记账法 Meaning of account balance 账户余额的含义 Record cash transactions 记录现金业务 Record credit sale and purchases 记录赊销和赊购 Record sale and purchases return 记录销售和购货退回 Account for discounts 核算折扣 Balancing off ledger account 结账户余额 Trial balance & its purpose 编制试算平衡表 Prepare B/S & I/S from trial balance 在试算表的基础上编 制财务报表 • Closing off ledger account 结平账户余额
（2） Income statement ledger accounts：Be cleared out to income statement account余 额转出并结零 --- 转出收入到income statement贷方 --- 转出费用到income statement借方
Closing off the ledger accounts
2. Record a transaction
• Accounting entry Dr Account name Cr Account name • PPT7 accounting entry: Dr Cash Cr Loan Dr Telephone Expense Cr Cash XX XX $ 20,000 800 800
(2) The rules of debit and credit:
Assets Liabilities Proprietor’s Capital
+
-
-
+
-
+
Expenses
Revenues
+
-
-
+
Apply the rules of debit and credit
Business transaction • Borrowed $20,000 from the bank. Record in account
户余额)
• • • • • Total both sides Put larger total in both total boxes Find the difference between the small and the big side Include difference to smaller side .Call it ‘bal c/d’ or ‘bal c/f’ 转下 （ 真正余额的反方向） Carry the balance down diagonally, Next period ‘bal b/d’ or ‘bal b/f’ on opposite side 承前（真正的余额方向） P43
6. Opening balances
• • • • Only B/S accounts have opening balances Assets have debit balances Liabilities & capital have credit balances I/S accounts do not have opening balances • Test p46
Assets -
Liabilities +
Proprietor’s Capital +
Revenues Expenses +
Key points:
Revenues + Expenses -
(1) Ledger account （账户） 账户）
• A basic summary device of accounting system. • The detailed record of the changes (increases, decreases) that have occurred in a particular accounting item. • 记账载体，每个项目都要设置相应账户 • 账户均有名称和借方、贷方 • T型账户、三栏式账户
5.The trial balance
• A list of ledger accounts balance b/f • Purpose of trial balance — Total debit = Total credit 借贷平衡 — First step in preparing the financial statements 编制报表的先行步骤
（2）Record credit sales and credit purchases
• Credit sales （赊销） : Receivables ledger ; Sales ledger Dr Receivables XX Cr Sales XX • Credit purchases （赊购） : Purchases ledger; Payables ledger Dr Purchases XX Cr Payables XX • Test p39
7. Preparation of financial statements
• P48 • Test p49 • Chapter summary p50
（4） Accounting for discounts
• Trade discount（商业折扣）：不必单独记录 • Cash discount（现金折扣）：Early settlement discounts
Cash discounts
• Discount allowed （sales discounts 销售折扣）： 销售折扣）： Dr Discount allowed (expense) Cr Receivables XX XX
（3） Record sales and purchases returns
• Sales returns （销售退回） Dr Sales returns XX Cr Cash /Receivables XX • Purchases returns（购货退回） Dr Cash /Payables XX Cr Purchases returns XX • Test p40
（3）Capital account p45 Capital (owners’ equity): opening capital + new capital + profit or – loss (be transferred from income statement ) - drawings (be transferred from drawings ) closing capital
1. Accounting equation and double-entry accounting
Assets = Liabilitieห้องสมุดไป่ตู้ + Proprietor’s Capital
NP = Revenues - Expenses
Assets = Liabilities + Proprietor’s Capital Assets + Liabilities Proprietor’s Capital NP = Revenues - Expenses