BOOKKEEPING CERTIFICATION
COURSE Q AND A
Acyschedulecythatcycontainscyallcyaccountscyneededcytocypreparecyfinancialcystatementscyis
cyknowncyas:cy-cyanswer--generalcyledger
Reorganizingcyallcythecyjournalcyentriescyandcygroupingcythemcybycyaccountcyiscyknowncyas:
cy-cyanswer--postingcytocythecyledger
ChartcyofcyAccountscy(COA)cy-cyanswer--
ancyorderedcylistingcyofcyaccountscythatcyacycompanycyhascyidentifiedcyandcymadecyavailabl
ecyforcyrecordingcytransactions
JournalcyEntrycy-cyanswer--
ancyaccountingcymethodcyforcyexpressingcythecyeffectscyofcyacytransactioncyoncyaccountscyi
ncyacydebits-equal-creditscyformat
GeneralcyLedgercy-cyanswer--
Acyledgercythatcycontainscyallcyaccountscyneededcytocypreparecyfinancialcystatements
FinancialcyStatementscy-cyanswer--
Financialcyreportscythatcysummarizecythecyfinancialcyconditioncyandcyoperationscyofcyacybus
iness
TocyfindcythecybalancecyofcythecyaccountcytypescythatcyINCREASEcywithcyacyDEBITcy(assetcy
andcyexpensecyaccount),cybookkeeper'scywill:cy-cyanswer--
Subtractcytotalcycreditscyfromcytotalcydebitscy(Debits-Credits=)
AccountingcyCyclecyStepscy-cyanswer--1.cyAnalyzecybusinesscytransactions
2.cyJournalizecythecytransactions
3.cyPostcytocyledgercyaccounts
4.cyPreparecyacytrialcybalance
5.cyJournalizecyandcypostcyadjustingcyentries
6.cyPreparecyancyadjustedcytrialcybalance
7.cyPreparecyfinancialcystatements
8.cyJournalizecyandcypostcyclosingcyentries
9.cyPreparecyacypost-closingcytrialcybalance
Thecyaccountingcycyclecystepcy1cy-cyanswer--Analyzecybusinesscytransactions
Aftercyanalysis,cythecybusinesscytransactioncyiscyrecordedcyincythecyjournalcyincywhatcyorder:
cy-cyanswer--Chronological
, AcyformcyorcystatementcythatcylistscythecytitlescyandcybalancescyofcyALLcyledgercyaccountscya
tcyacygivencydatecyiscyknowncyascya:cy-cyanswer--trialcybalance
SydneycyiscyenteringcyacytransactioncyincyQuickBooks.cyWhatcyarecythecytwocystepscyofcyma
nualcyaccountingcythatcywillcyhappencysimultaneouslycyascyshecydoescythis?cy-cyanswer--
Creatingcyacyjournalcyentrycyandcypostingcytocythecyledger
Accountcynumberscybeginningcywithcyacy1cyorcyacy6cysignifiescywhatcytypecyofcyaccounts:cy-
cyanswer--Assetcyandcyandcyoperatingcyforcyexample
Acytrialcybalancecywherecytotalcydebitscyequalcytotalcycreditscyindicates:cy-cyanswer---
cyThecyledgercyiscyincybalance.
Tocydeterminecyacycompaniescyfinancialcypositioncywascyoncyacycertaincydate,cywhichcywoul
dcybecythecybestcyreportcytocylookcyat?cy-cyanswer--
Thecybalancecysheetcybecausecyitcyreportscyacycompany'scyassets,cyliabilities,cyandcyequity
cyatcyacyspecificcypointcyincytime.cyAcycompanycycancyusecythiscytocydeterminecythecyfinancialc
ypositioncyoncythecydaycyitcyneedscyit
Whatcyfinancialcystatementcyreportscythecysourcescyandcyusescyofcycashcybycyacybusiness?
cy-cyanswer--
Statementcyofcycashcyflowcysummarizescythecyamountcyofcycashcyandcycashcyequivalentscy
enteringcyandcyleavingcyacycompany
unadjustedcytrialcybalancecy-cyanswer--
Listscythecygeneralcyledgercyaccountcybalancescyatcythecyendcyofcythecyreportingcyperiodcybe
forecyanycyadjustingcyentriescyarecyrecordedcyandcyposted.cyItcyiscythecystartingcypointcyatcyst
epcy3cyusedcyforcyanalyzingcyaccountcybalancescyandcymakingcyadjustments
Acytransactioncyjournalcyshowscyacy$100cycustomercypaymentcyintocyQuickBooks.cyWhichc
yaccountcywouldcyshowcyascybeingcydebited?cy-cyanswer--
Thecybusinesscybankcyaccountcywouldcybecydebitedcy$100cybecausecyitcywillcyINCREASEcy
thecybackcyaccountcybalancecybycy$100
double-
entrycybookkeepingcynormallycyresultscyincywhichcyofcythecyfollowingcybalancescyincythecyled
gercyaccounts?cy-cyanswer--Debit:cyassetscyandcyexpenses/
cyCredit:cyLiabilities,cyEquity,cyandcyRevenue
Ifcyyoucyhavecyacydebitcyentrycyincyacycashcyaccountcyofcy$900cyandcytotalcycreditcyentriescyofc
y$600cytocythecycashcyaccountcythecycashcyaccountcyhascywhatcytypecyandcyamountcybalanc
e?cy-cyanswer--
$300cydebitcybalancecybecausecytotalcydebitscy$900cyminutecytotalcycreditscyofcy$600=cyacy$
300cyPOSITIVEcy(debit)cybalance
acycompanycyboughtcycomputerscywithcycreditcyfromcyacysuppliercyandcyenteredcythecypurch
asecyintocyQuickbooks.cyThecytransactioncyjournalcyforcythecycompanycywouldcyshowcywhat
cykindcyofcyentrycy-cyanswer--Debit:Computers/
cyCredit:cySuppliercycreditcyPAYABLEcybecausecywhencyyoucyentercyacytransactioncythatcyin
COURSE Q AND A
Acyschedulecythatcycontainscyallcyaccountscyneededcytocypreparecyfinancialcystatementscyis
cyknowncyas:cy-cyanswer--generalcyledger
Reorganizingcyallcythecyjournalcyentriescyandcygroupingcythemcybycyaccountcyiscyknowncyas:
cy-cyanswer--postingcytocythecyledger
ChartcyofcyAccountscy(COA)cy-cyanswer--
ancyorderedcylistingcyofcyaccountscythatcyacycompanycyhascyidentifiedcyandcymadecyavailabl
ecyforcyrecordingcytransactions
JournalcyEntrycy-cyanswer--
ancyaccountingcymethodcyforcyexpressingcythecyeffectscyofcyacytransactioncyoncyaccountscyi
ncyacydebits-equal-creditscyformat
GeneralcyLedgercy-cyanswer--
Acyledgercythatcycontainscyallcyaccountscyneededcytocypreparecyfinancialcystatements
FinancialcyStatementscy-cyanswer--
Financialcyreportscythatcysummarizecythecyfinancialcyconditioncyandcyoperationscyofcyacybus
iness
TocyfindcythecybalancecyofcythecyaccountcytypescythatcyINCREASEcywithcyacyDEBITcy(assetcy
andcyexpensecyaccount),cybookkeeper'scywill:cy-cyanswer--
Subtractcytotalcycreditscyfromcytotalcydebitscy(Debits-Credits=)
AccountingcyCyclecyStepscy-cyanswer--1.cyAnalyzecybusinesscytransactions
2.cyJournalizecythecytransactions
3.cyPostcytocyledgercyaccounts
4.cyPreparecyacytrialcybalance
5.cyJournalizecyandcypostcyadjustingcyentries
6.cyPreparecyancyadjustedcytrialcybalance
7.cyPreparecyfinancialcystatements
8.cyJournalizecyandcypostcyclosingcyentries
9.cyPreparecyacypost-closingcytrialcybalance
Thecyaccountingcycyclecystepcy1cy-cyanswer--Analyzecybusinesscytransactions
Aftercyanalysis,cythecybusinesscytransactioncyiscyrecordedcyincythecyjournalcyincywhatcyorder:
cy-cyanswer--Chronological
, AcyformcyorcystatementcythatcylistscythecytitlescyandcybalancescyofcyALLcyledgercyaccountscya
tcyacygivencydatecyiscyknowncyascya:cy-cyanswer--trialcybalance
SydneycyiscyenteringcyacytransactioncyincyQuickBooks.cyWhatcyarecythecytwocystepscyofcyma
nualcyaccountingcythatcywillcyhappencysimultaneouslycyascyshecydoescythis?cy-cyanswer--
Creatingcyacyjournalcyentrycyandcypostingcytocythecyledger
Accountcynumberscybeginningcywithcyacy1cyorcyacy6cysignifiescywhatcytypecyofcyaccounts:cy-
cyanswer--Assetcyandcyandcyoperatingcyforcyexample
Acytrialcybalancecywherecytotalcydebitscyequalcytotalcycreditscyindicates:cy-cyanswer---
cyThecyledgercyiscyincybalance.
Tocydeterminecyacycompaniescyfinancialcypositioncywascyoncyacycertaincydate,cywhichcywoul
dcybecythecybestcyreportcytocylookcyat?cy-cyanswer--
Thecybalancecysheetcybecausecyitcyreportscyacycompany'scyassets,cyliabilities,cyandcyequity
cyatcyacyspecificcypointcyincytime.cyAcycompanycycancyusecythiscytocydeterminecythecyfinancialc
ypositioncyoncythecydaycyitcyneedscyit
Whatcyfinancialcystatementcyreportscythecysourcescyandcyusescyofcycashcybycyacybusiness?
cy-cyanswer--
Statementcyofcycashcyflowcysummarizescythecyamountcyofcycashcyandcycashcyequivalentscy
enteringcyandcyleavingcyacycompany
unadjustedcytrialcybalancecy-cyanswer--
Listscythecygeneralcyledgercyaccountcybalancescyatcythecyendcyofcythecyreportingcyperiodcybe
forecyanycyadjustingcyentriescyarecyrecordedcyandcyposted.cyItcyiscythecystartingcypointcyatcyst
epcy3cyusedcyforcyanalyzingcyaccountcybalancescyandcymakingcyadjustments
Acytransactioncyjournalcyshowscyacy$100cycustomercypaymentcyintocyQuickBooks.cyWhichc
yaccountcywouldcyshowcyascybeingcydebited?cy-cyanswer--
Thecybusinesscybankcyaccountcywouldcybecydebitedcy$100cybecausecyitcywillcyINCREASEcy
thecybackcyaccountcybalancecybycy$100
double-
entrycybookkeepingcynormallycyresultscyincywhichcyofcythecyfollowingcybalancescyincythecyled
gercyaccounts?cy-cyanswer--Debit:cyassetscyandcyexpenses/
cyCredit:cyLiabilities,cyEquity,cyandcyRevenue
Ifcyyoucyhavecyacydebitcyentrycyincyacycashcyaccountcyofcy$900cyandcytotalcycreditcyentriescyofc
y$600cytocythecycashcyaccountcythecycashcyaccountcyhascywhatcytypecyandcyamountcybalanc
e?cy-cyanswer--
$300cydebitcybalancecybecausecytotalcydebitscy$900cyminutecytotalcycreditscyofcy$600=cyacy$
300cyPOSITIVEcy(debit)cybalance
acycompanycyboughtcycomputerscywithcycreditcyfromcyacysuppliercyandcyenteredcythecypurch
asecyintocyQuickbooks.cyThecytransactioncyjournalcyforcythecycompanycywouldcyshowcywhat
cykindcyofcyentrycy-cyanswer--Debit:Computers/
cyCredit:cySuppliercycreditcyPAYABLEcybecausecywhencyyoucyentercyacytransactioncythatcyin
