The Accounting Information System This slide deck contains animations. Please disable animations if they cause issues with your device.
Learning Objectives After studying this chapter, you should be able to: 1. Describe the basic accounting information system. 2. Record and summarize basic transactions. 3. Identify and prepare adjusting entries. 4. Prepare financial statements from the adjusted trial balance and prepare closing entries. 5. Prepare financial statements for a merchandising
Preview of Chapter 3 (1 of 5) The Accounting Information System Accounting Information System • Basic terminology • Debits and credits • Accounting equation • Financial statements and ownership structure • The accounting cycle
Debits and Credits (1 of 5) The Account • Record of increases and decreases in a specific asset, liability, stockholders’ equity, revenue, or expense item. • Debit = “Left” • Credit = “Right” An account can be illustrated in a T-account form.