What is the journal entry rule? How to record accounts of asset, liability, equity, revenues, and expenses? Is it appropriate to calculate depreciation using two different methods? Explain why or why not. How to calculate a balance sheet from one year to the next?
Explain the two methods to amortize the bond premium and discount. Give example journal entries for the two different amortization methods. Explain the process of establishing new accounts for fixed assets that will be depreciated like equipment. Why is accumulated depreciati...
There are generally three steps to making a journal entry. First, the business transaction has to be identified. Obviously, if you don’t know a transaction occurred, you can’t record one. Using our vehicle example above, you must identify what transaction took place. In this case, the ...
How to calculate statement of cash flows without journal entry? How are the income statement, balance sheet, and cash flow statement interrelated? A company paid $1,125 cash for operating expenses. How does this transaction affect the accounting equation?
To make a journal entry for accounts payable, you take an invoice for inventory or services already received and debit the expense and credit accounts...Become a member and unlock all Study Answers Start today. Try it now Create an account Ask a question Our experts can answer your tough...
The first year, the depreciation on the building journal entry is a $6,250 credit to Accumulated Depreciation and the same size debit to Depreciation Expense. Accumulated Depreciation on a building is a contra asset account: You include it next to the asset account to reflect the real value ...
But any journal entry shows up in the cash basis report. And depreciation is not cash. So how do I record it so that it shows up on accrual basis but not on cash basis. Honestly, QB is crazy. Plus you only get ONE A/P and ONE A/R account...
A journal entry is when a company makes a transaction and writes down a simple record of the transaction in its first book called a journal.
The journal entry to record an impairment is a debit to a loss, or expense, account and a credit to the related asset. Acontra assetimpairment account, which holds a balance opposite to the associated asset account, may be used for the credit in order to maintain thehistorical costof the...
You will see that theFA Error Entry No.field has been filled in. On theHometab, choosePostto post the journal. The lines are posted as FA error ledger entries. See Also Tasks Concepts Depreciate or Amortize Assets Calculate Depreciation ...