1. ACCT 2110 GENERAL LEDGER

2. ACCOUNTING EQUATION n Assets = Equities n Assets = Liabilities + Owner’s equity

3. Expanded Accounting Equation n Assets = Liabilities + Owner’s Equity StockRetained Earnings +Revenues -Expenses -Dividends

4. Expanded Accounting Equation n Assets = Liabilities + Owner’s Equity StockRetained Earnings +Revenues -Expenses -Dividends DrCr Dr Cr

5. Definitions n Assets n Liabilities n Equity n Revenue n Expenses n Gains n Losses

6. Accounting Cycle n Transaction n Journal – Debit – Credit n Ledger n Posting n Trial Balance n Adjusting Entries

7. Accounting Cycle continued n Financial Statements – Income Statement – Statement of Retained Earnings or n Statement of Owner’s Equity – Balance Sheet – Statement of Cash Flows

8. Accounting Cycle Continued n Closing entries – Transfer revenue account balances Income Summary – Transfer expense account balances to Income Summary – Transfer the balance of the Income Summary to the Capital account or Retained Earnings – Transfer the balance of the Withdrawals account or Dividends account to the Capital account or Retained Earnings n Post Closing Trial Balance n Reversing entries