How to Quickly Learn Basic Accounting

How to Quickly Learn Basic Accounting

what the heck wrote that must be considered in understanding accounting?? (I think)

1. Understanding Accounting Definitions
accounting has many meanings, and is most commonly means a process record, classify, summarize, process and present data, transactions, and finance-related events that can be used by people who use it easily understandable for a decision-making and other purposes.

2. Memorize the name and account number
accounting consists of different accounts. basic accounts are (1) Assets, Debt {2}, (3) capital, (4) income, and (5) Expenses
basic formula, Assets = Debt + Equity
And from that basic accounts are different accounts. so if you want to understand the account name, you can see from his account number, the account includes an account of the property is the number 100-199, payable from numbers 201-299, 301-399 Capital, 401-499 revenues and expenses of the 501-ff . you can see it from the Trial Balance below ..



we can see that the cash including property, because of the cash account number is 101, while sales revenue which is located at number 401.
each account has a beginning balance of different ..
TREASURE = normal debit balances. decreases in credit.
DEBT = normal balances on credit. decreases in discharge
CAPITAL = normal credit balance. decreases in discharge
REVENUE = normal credit balance, decreases in discharge
LOAD = normal debit balance, reduced credit.

 but in the capital there Prive account, that personal decision for the owner of the company. normally such a load balance (increase in discharge), but its location in the capital account. why?
because prive not related to corporate spending, but private consumption so that it is in the capital. (see trial balance number 302)


UNDERSTANDING FLOW ACCOUNTING CYCLE
Picture of the accounting cycle:


Starting from the evidence tansaksi, we memcatatnya in the JOURNAL, and categorize it in LEDGER, recapitulated in the JOURNAL OF BALANCE SHEET ADJUSTMENTS and make ADJUSTED AFTER, then report it in the form of a dbagi FINANCIAL STATEMENTS 3 parts, such as profit and loss report, balance sheet and statement of changes in equity.

How to Quickly Learn Basic Accounting