Chapter 3 : The Accounting Cycle Flashcards
whats a journal
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.
a company’s journal typically contains of
transaction date account name account number transaction description posting reference debits credits
what is a posting reference?
its a code that links an accounting entry in a journal to one or more source documents associated with a business transactions
what is a ledger (buku besar)
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.
what is a general ledger
general ledger is a summary of all accounts with their current balances
what is subsidiary ledgers
it is contain more detailed sub-accounts within the account categories listed in the general ledger
the differences in arranging the urutan dari journal and ledgers
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 -)
what is posting
its a process of transferring the amounts listed in a journal to the appropriate accounts in a ledger
a ledger typically consist of column listing….
- the account name
- the date of the transactions
- a posting reference
- an indication that the transaction is a debit or a credit transactions
- an indication that the account has a debit or a credit balance
beda journal and ledger
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
what is trial balance
its a listing of all ledger accounts with their debit or credit balances.
whats the use of trial balances?
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
typical error that can happen in trial balances
- reversed or unbalanced debits and credits (kebalik tempatnya ceunah)
- posting to the wrong accounts
- arithmetic error (pertambahannya erroR)
- 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)
when is adjusting entries used
when the company should include in its financial statements tapi its not yet happened or still on going.
contoh adjusting entries
pendapatan perusahaan pada tahun ini yang akan dibayar ke karyawan taun depan, ini nulisnya pake adjusting entries
yg termasuk permanent accounts
all accounts in the basic accounting equation, assets = liabilities + owners equity and cash
yang termasuk temporary account or nominal account
all accounts listed in the statement of operations (revenues and expenses)
perbedaan closing entries antara balance sheets accounts sama statement of operations accounts
- 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
revenues and expenses accounts are temporary account for
owners equity. bcs revenue - expenses = net incomes, nah net incomes in adalah jumlah yang ditambah ke owners equity as a surplus
for the next year assets, its started with
assets = liabilities + owners equity (the beginning bgt) + net income
definition of annual report
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
whats the statement of cash flows
provides information about a company’s cash receipts (inflows) and cash disbursement (outflows) during a given accounting period
whats the statement of stockholders equity
shows the changes that occurred in the stockholders equity balance sheet account during the accounting period covered
annual report consist of
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
