We think you have liked this presentation. If you wish to download it, please recommend it to your friends in any social system. Share buttons are a little bit lower. Thank you!
Presentation is loading. Please wait.
Published byEthel Briggs
Modified over 4 years ago
© 2000 South-Western Educational Publishing ACCOUNTING & ACCOUNTING SYSTEMS n P R A I –Planning –Recording –Analyzing –Interpreting financial information n Accounting System –A planned process for providing financial information that will be useful to management
© 2000 South-Western Educational Publishing ACCOUNTING RECORDS & SERVICE BUSINESS n Accounting Records –Organized summaries of a business’s financial activities. n Service Business –A business that performs an activity for a fee EXAMPLES: Laundry service, house cleaning, landscaping, etc.
© 2000 South-Western Educational Publishing PROPRIETORSHIP n A business owned and operated by one person –ENCORE MUSIC
© 2000 South-Western Educational Publishing ASSETS & LIABILITIES n ASSETS –Anything of value that is owned Example: –Personal assets - Car, house, clothing, etc. –Business assets – Cash, Supplies and Prepaid Insurance n LIABILITIES –An amount that a business owes Example: –Personal liability – Credit cards, mortgage, etc. –Business liability – Buying supplies on account (credit)
© 2000 South-Western Educational Publishing EQUITIES & OWNER’S EQUITY n Equities –Financial rights to the assets of a business Business has two types of equity –Equity of those to whom money is owed »Example: Encore Music buys supplies and agrees to pay for them at a later time. (Credit) –Equity of the owner »Example: Owner of Encore Music invests personal money to start her business. n Owner’s Equity –The amount remaining after the value of all liabilities is subtracted from the value of all assets.
© 2000 South-Western Educational Publishing THE ACCOUNTING EQUATION Lesson 1-1, page 7
© 2000 South-Western Educational Publishing T ERMS REVIEW accounting accounting system accounting records service business proprietorship Lesson 1-1, page 8 asset equities liability owner’s equity accounting equation
Starting a Proprietorship
© 2014 Cengage Learning. All Rights Reserved.
Learning Objectives © 2014 Cengage Learning. All Rights Reserved. LO3Classify accounts as assets, liabilities, or owner’s equity and demonstrate their.
OBJECTIVES Define Accounting, service business and proprietorship
LESSON 1-2 How Business Activities Change the Accounting Equation
Chapter 1 Accounting Terms
The Accounting Equation n Property: anything of value that is owned –cash and supplies to conduct daily business –can be used to acquire other assets (supplies)
Starting a Proprietorship: Changes That Affect the Accounting Equation
Chapter 1 – Starting A Proprietorship
Chapter 1 – Starting a Proprietorship
Chapter 1 The Accounting Equation General Info Accounting is the language of business! Understanding accounting helps managers & owners make better.
Job Opportunities in Accounting
Chapter 1 Balance Sheet Accounts. Big Ideas Define accounting terms related to starting a service business organized as a proprietorship Identify accounting.
Chapter 2 Objectives: Define accounting terms related to changes that affect owner’s equity for a service business organized as a proprietorship. Identify.
Chapter 1: Starting a Proprietorship OBJECTIVES:
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 1 LESSON 1-1 GOLD’S GYM Franchise – individuals/groups buy the right to open and operate a.
What is Accounting? 1-1.
LESSON 1-2 How Business Activities Change the Accounting Equation.
What is Accounting Accounting is Planning, Recording, Analyzing and Interpreting financial information A planned process for providing financial information.
© 2000 South-Western Educational Publishing THE ACCOUNTING EQUATION Lesson 1-1, page 7.
© 2020 SlidePlayer.com Inc. All rights reserved.