Textbook Notes (368,317)
Canada (161,798)
Accounting (533)
ACC 100 (214)
Chapter 3

ACC 100 Chapter 3: Using Accounts in Transaction Analysis

2 Pages
Unlock Document

ACC 100
Maurizio Di Maio

Chapter 3 Using Accounts in Transaction Analysis Financial Information: In order for stakeholders to make decisions, financial information should be in a form that allows one to quickly evaluate past activities A good accounting system subdivided the financial reporting elements into accounts so that more detailed information is available Accounts = common subgroups of financial reporting elements that ae used to accumulate business activities Transaction Analysis Account Names: Common Asset Accounts: Cash Accounts Receivable = represent a businesss legal right to collect cash from a customer at some point in the future Prepaid Expenses = an asset that will become an expense in the future Equipment Intangible Assets = assets that are not physical Common Liability Accounts: Accounts Payable = when a business buys a goodservice on account and must pay in the future LoanNote Payable = legal agreements with a set interest rate and deadline for which a business owes over a long term Interest Payable = interest on a loan that must be paid back in the future WagesSalaries Payable Unearned Revenue = when a customer pays in advance for a goodservice Common Equity Accounts: Owners Capital Retained Earnings Common Revenue Accounts: SalesService Revenue Sales Returns Allowances Sales Discounts Common Expense Accounts: Advertising Expense WageSalaries Expense Website Expense Interest Expense Transaction = an event that is measurable and realized Event = a business activity of importance to a business that is measurable or realized, but not both measurable and realized
More Less

Related notes for ACC 100

Log In


Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.