Accounts payable are the unpaid bills of the business; the money you owe to your suppliers and other creditors. The sum of the amounts you owe to your suppliers is listed as a |
The general ledger is a permanent summary of all your supporting journals, such as the sales and cash receipts journal and the |
A list of common general ledger accounts is shown below. Depending on your type of business, you will use many, but probably not all, of these account names. ... |
When you reach the end of an accounting period, you need to "close the books." At a minimum, you will close your books annually because you have to file an income tax return every year. If you are ... |
The trial balance is a worksheet on which you list all your general ledger accounts and their debit or credit balance. It is a tool that is used to alert you to errors in your books. The total |
When preparing a trial balance, the total debits must equal the total |
The general journal is usually a two-column journal used for unusual and annual accounting entries that aren't recorded in the sales and cash receipts and |
Certain end-of-period adjustments must be made when you close your books. Adjusting entries are made at the end of an accounting period to account for items ... |
If you have employees, chances are you owe them a certain amount of wages at the end of an accounting period. If so, an adjusting entry is required in your ... |
One component of the payroll taxes you deposit with the government is FICA tax (made up of Social Security and Medicare taxes) One-half of the FICA you pay is withheld from employees; the other half ... |
