Chapter 3 : The Accounting Cycle

Question 1

whats a journal

Answer 1

a journal contains all the original, chronological records of a company’s financial transactions. provides in one place a complete historical record of a company’s business transactions, in the order in which they occured.

Question 2

a company’s journal typically contains of

Answer 2

transaction date
account name
account number
transaction description
posting reference
debits
credits

Question 3

what is a posting reference?

Answer 3

its a code that links an accounting entry in a journal to one or more source documents associated with a business transactions

Question 4

what is a ledger (buku besar)

Answer 4

a ledger is a set of account books (manual system) or a set of electronic record (automated system) that provides detailed information on the dollar amounts in each of a company’s accounts.

Question 5

what is a general ledger

Answer 5

general ledger is a summary of all accounts with their current balances

Question 6

what is subsidiary ledgers

Answer 6

it is contain more detailed sub-accounts within the account categories listed in the general ledger

Question 7

the differences in arranging the urutan dari journal and ledgers

Answer 7

a journal is arranged chronologically, and a ledger follows the order of a company’s accounts as listed on the chart of accounts. (the balance sheets - assets, liabilities, owners equity - come first then followed by the statement of operations accounts - revenues and expenses -)

Question 8

what is posting

Answer 8

its a process of transferring the amounts listed in a journal to the appropriate accounts in a ledger

Question 9

a ledger typically consist of column listing….

Answer 9

1. the account name
2. the date of the transactions
3. a posting reference
4. an indication that the transaction is a debit or a credit transactions
5. an indication that the account has a debit or a credit balance

Question 10

beda journal and ledger

Answer 10

kalo journal isinya semua transaksi sesuai urutan kronologi kek misal tanggal 2 beli batre, tanggal 3 beli sayur gtgt
nah kalo ledger (buku besar) itu dikotak-kotakin sesuai accountnya, misal di account sayuran nnti dimasukin tuh tgl 3 beli sayur, nah di account persediaan nnti dimasukin beli batre

Question 11

what is trial balance

Answer 11

its a listing of all ledger accounts with their debit or credit balances.

Question 12

whats the use of trial balances?

Answer 12

to determine whether total debits equal total credits kek diliat dari semua account itu trs dijumlah tuh debit ma creditnya dari semua akun nnti hasil akhirnya sama apa gak itu antara debit ama credit u know gwenchanayo ya allah semangat

Question 13

typical error that can happen in trial balances

Answer 13

1. reversed or unbalanced debits and credits (kebalik tempatnya ceunah)
2. posting to the wrong accounts
3. arithmetic error (pertambahannya erroR)
4. errors that involve transpositions or slides (transpositions salah nulis gt kek harusnya 546 tp ditulis 456, kalo slides itu komanya salah tempat, harusnya 45.60 jadi 4.560)

Question 14

when is adjusting entries used

Answer 14

when the company should include in its financial statements tapi its not yet happened or still on going.

Question 15

contoh adjusting entries

Answer 15

pendapatan perusahaan pada tahun ini yang akan dibayar ke karyawan taun depan, ini nulisnya pake adjusting entries

Question 16

yg termasuk permanent accounts

Answer 16

all accounts in the basic accounting equation, assets = liabilities + owners equity and cash

Question 17

yang termasuk temporary account or nominal account

Answer 17

all accounts listed in the statement of operations (revenues and expenses)

Question 18

perbedaan closing entries antara balance sheets accounts sama statement of operations accounts

Answer 18

• for balance sheets account, tiap penutupan periode (misal tahunan) semuanya di jumlah trs dijadiin dana awal di periode selanjutnya (misal cash di taun berikutnya udh ada awalan 50jt berasal dari taun kemaren)
• for statement of operations acconts, gak dijumlah trs dibawa ke taun berikutnya tapi di nol karena statement of operations kan dia cuma buat record the movement of the funds, they do not carry balances from one year to another

Question 19

revenues and expenses accounts are temporary account for

Answer 19

owners equity. bcs revenue - expenses = net incomes, nah net incomes in adalah jumlah yang ditambah ke owners equity as a surplus

Question 20

for the next year assets, its started with

Answer 20

assets = liabilities + owners equity (the beginning bgt) + net income

Question 21

definition of annual report

Answer 21

the report that a company’s management sends to its stockholders and other interested parties to report on the company’s performance during the past year

Question 22

whats the statement of cash flows

Answer 22

provides information about a company’s cash receipts (inflows) and cash disbursement (outflows) during a given accounting period

Question 23

whats the statement of stockholders equity

Answer 23

shows the changes that occurred in the stockholders equity balance sheet account during the accounting period covered

Question 24

annual report consist of

Answer 24

notes to the financial statements
a letter from the company’s president
a description of the company and it’s business activities
a multi-year summary of selected financial highlights
a management report on the company’s operating results and its financial conditions
an analysis of the financial data
an independent auditor’s report
a list of the company’s officers and directors