Management and Organizational Studies 1023A/B Chapter Notes - Chapter 9: Accounting Equation, Financial Statement, General Ledger

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 1023A/B
• Professor: Barry Hawn

Document Summary

Accounting information system: the system of collecting and processing transaction data and communicating financial information: can vary widely based on: type of business and its transactions, size of company, amount of data information requirements. 40,000 cash, +40,000 land transaction 3: supplies: e. g. the business buys stationery and other office supplies on account agreeing to pay. Transaction 6: tara inc. ,700 for the following expenses: office rent ,100, employee salary. Transaction 7: tara pays ,900 on account for supplies purchased in transaction 3. Transaction 8: a shareholder pays for the remodelling of his home at a cost of ,000: this event is a transaction of the personal entity, not the business entity, no transaction is recorded for tara inc. Transaction 9: the business collects ,000 from a customer on account. Transaction 10: tara inc. sells part of the land purchased in transaction 3 for ,000 in cash.