Sanchez 3 Flashcards

Ajustes contables

1
Q

What are accounting adjustments?

A

Adjustments reflect correct balances in financial statements by applying the accrual principle.

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2
Q

When are accounting adjustments necessary?

A

At the end of the fiscal period to ensure accurate financial reporting.

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3
Q

What does distributing recorded costs involve?

A

Increasing an expense account and decreasing an asset account for prepaid services.

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4
Q

What is an example of distributing recorded costs?

A

Prepaid expenses like rent, insurance, or salaries.

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5
Q

What is included in the distribution of recorded costs?

A

Depreciation of fixed assets.

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6
Q

What is the purpose of distributing recorded income in advance?

A

To increase an income account and decrease a liability for future services.

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7
Q

What is an example of distributing income received in advance?

A

Rent received in advance.

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8
Q

What are unrecorded expenses?

A

Expenses incurred but not paid by the end of the period.

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9
Q

How are unrecorded expenses accounted for?

A

By increasing an expense account and a liability account.

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10
Q

What is an example of an unrecorded expense?

A

Accrued salaries and unpaid interest.

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11
Q

What are unrecorded revenues?

A

Revenues earned but not collected by the end of the period.

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12
Q

How are unrecorded revenues accounted for?

A

By increasing an income account and an asset account.

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13
Q

What is an example of unrecorded revenue?

A

Interest earned on accounts receivable or time deposits.

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14
Q

What do other adjustments include?

A

Adjustments to the value of stock investments, affecting the asset and recognizing financial income or expense.

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15
Q

What are the key concepts of this chapter?

A

Accounting adjustments, accrual principle, prepaid expenses, unrecorded expenses, depreciation, investment valuation.

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