The Assets account Assets are the economic resources that benefit the business now and in the future Cash Supplies Accounts receivable Inventory Properties Notes receivable Buildings Prepaid expenses E quIpment Task Team of FUndaMientalactoUntING Business Sehool. Sun Yatsen niversity
6 The Assets Account Assets are the economic resources that benefit the business now and in the future Cash Accounts receivable Inventory Notes receivable Prepaid expenses Supplies Properties Buildings Equipment
The liabilities Account Liabilities are the debts of the company. Notes payable Accounts payable Accrued liabilities (for expenses incurred but not paid) Long-term liabilities(bonds) Task Team of FUndaMientalactoUntING Business Sehool. Sun Yatsen niversity 7
7 The Liabilities Account Liabilities are the debts of the company. Notes payable Accounts payable Accrued liabilities (for expenses incurred but not paid) Long-term liabilities (bonds)
The Equity Account Stockholders(owners) equity is the owners claims to the assets of a corporation A proprietorship uses a single account. a partnership uses separate accounts for each owners capital balance and withdrawals A corporation uses separate capital accounts for each source of capital. Task Team of FUndaMientalactoUntING Business Sehool. Sun Yatsen niversity
8 The Equity Account Stockholders’ (owners’) equity is the owners’ claims to the assets of a corporation. A proprietorship uses a single account. A partnership uses separate accounts for each owner’s capital balance and withdrawals. A corporation uses separate capital accounts for each source of capital
Details of Equity Account Common Stock Retained earnings Dividends Revenues Expenses Task Team of FUndaMientalactoUntING Business Sehool. Sun Yatsen niversity
9 Details of Equity Account Common Stock Retained Earnings Dividends Revenues Expenses
The account Account Title Debit Credit LEFT SIDE L RIGHT SIDE Task Team of FUndaMientalactoUntING Business Sehool. Sun Yatsen niversity 10
10 The T-Account Account Title Debit LEFT SIDE RIGHT SIDE Credit