CHAPTER 3 (BOOKKEEPING) Flashcards
That specifies the policies and procedures to be followed in accumulating information within the AIS
Accounting Manual
That specifies the policies and procedures to be followed in accumulating information within the AIS
Accounting Manual
Person who does the bookkeeping
Bookkeeper
Two Basic kinds of bookkeeping
Single-entry bookkeeping and Double-entry bookkeeping
Two Basic kinds of bookkeeping
Single-entry bookkeeping and Double-entry bookkeeping
One transaction two effect (debit and credit)
Double-entry bookkeeping
A book that contains all accounts and their transactions.
General Ledger
Transaction are not taken up in the records all the time
Single-entry bookkeeping
What is the main focus of Chapter 3 in the study material?
Bookkeeping
What are the two types of accounting systems mentioned?
Computerized accounting system and manual accounting system
What are the two types of accounting systems mentioned?
Computerized accounting system and manual accounting system
Complete sequence of accounting procedures used to keep track of what has happened in the business
Accounting Cycle
4 parts of journal entry
Opening Entry, simple entry, compound entry, and peso sign
first entry made in the general journal
opening Entry
the recording of the Beginning Balance of accounts in the preparation for the next accounting period, the entry involves only two accounts, one is debit and one is credit
Simple Entry
involves more them two Accounts in journalizing, the Standard format requires that all the debit Account are listed Before any credit Accounts
compound Entry
not used in Journal and ledgers, usually used only in the Trial Balance and financial Statement
peso sign
Two Alternative Inventory system in accounting for merchandise Inventory..
Periodic Inventory system and Perpetual Inventory system
A way of keeping track of what you have in your store, office, warehouse or factory which provides the Basis for recording the business transactions of a merchandising firm
Inventory System
two Alternative Inventory system
periodic Inventory system and Perpetual Inventory System
suitable for those business which likely have low-value Stocks purchase in large quantities those selling premium priced low-volumn Products that can be easing monitored on a daily basis such as car dealership
Periodic Inventory System
suitable to those businesses selling high-volumn products with multiple sales outlets.
Perpetual Inventory System
Acctg. Process is the recognition or non-recognition of business act. As ‘‘accountable” event.
Identifying
means the careful and responsible management of something entrusted to one’s care.
Stewardship
Process of assigning of peso amount to the accountable economic event and transactions
Measuring
Two main assumptions
Monetary unit assumptions and the economic entity assumptions
In accounting, the classical notion of Stewardship applies to the
valuation and the Stewardship role.
is that everything we own belongs to god ail we ought to use it for the glory of god.
classical notion
four (4) Phases of Accounting
Recording, classifying, summarizing and interpreting
