ACC 290 Week 3,
ACC 290 Week 3 Complete,
The process for completing accounting circuit includes …
Analyzing business transactions (to judge what was purchased and what accounts it affects)
Journalizing the transactions (place the entries in the correct accounts dr. & cr.)
Post to ledger accounts (post to the correct ledger account dr. & cr.)
In order for me to remember which is a permanent account and which is a temporary account –
temporary – revenues, expenses, and dividends
permanent – all balance sheet accounts because they are carried forward to the next accounting period – assets, liabilities, and stockholder’s equity.
The four closing journal entries are
a- Revenue accounts are closed to income summary
A worksheet is a beneficial extra that sometimes makes it easier to prepare adjusting entries and financial statements. In larger corporations worksheets are helpful when making many adjustments and when using a computer, spreadsheet columns can be set up for trail balance, adjustments, and adjusted balances – there are also useful for the computation of net income/loss on the worksheet. Worksheets can be prepared manually, in an excel spreadsheet, or purchased with programmable
|2.||30||Unearned Service Rev.
Week Three Reflection Summary
The knowledge of the team members continue to expand in accounting in week two. The team members gain knowledge on the difference between the accrual and cash accounting, creating adjusting entries, and preparing an adjusted trial balance.