Vol. 1 of Basic Accounting Concepts, Principles, & Procedures: Worthy & James Publishing

Revenue Recognition Principle     365
The Matching Principle    366
The Full Disclosure Principle    366
Important Accounting Organizations    367
Financial Accounting Standards Board (FASB)     367
Securities and Exchange Commission (SEC)    368
American Institute of Certified Public
Accountants (AICPA)    368
Review and Vocabulary    369
Practice    370
Cumulative Vocabulary Review    374
Cumulative Test    375
Cumulative Test Solutions    381
Help Table    382

Learning Goal 19:

Explain the Five Kinds
of Information 385

Overview    385
Review    386
Describe Financial Condition    386
The Five Data Arrangements    389
Overview    389
1. Find a Transaction by Date    389
2. See All Parts of a Transaction    390
3. See if the Equation Stays in Balance    390
4. See the Historical Detail of Each Item    390
5. Determine the Balance of Each Item    391

Learning Goal 20:

Explain the Use
of Accounts 394

Overview 394
The Account and How It Is Used    395
Example    395
The Account    395
Rules for Increasing and Decreasing the
Accounts    397
Review and Vocabulary    399
Practice    400

Learning Goal 21:

Use the Owner’s Capital
Accounts 411

The Parts of Owner's Equity 411
Overview of Owner's Equity 411

Rules and Examples of Increases and
Decreases   413
Decreasing the Owner's Capital Account    413
Increasing the Owner's Capital Account    417
Examples of Owner's Equity Transactions    418
Review    421
Practice    422

Learning Goal 22:

“Debits on the left, credit on
the right” 427

The Words "Debit" and "Credit"    427
What Debit and Credit Really Mean     427
Debit and Credit Rules Applied to
All Account Types    428
Apply Debits and Credits to the Accounts    428
Debit and Credit Rules for the Six Basic
Account Types    429
Review and Vocabulary    431
Practice    432

Learning Goal 23:

Use a Ledger 442

Overview    442
Separate Books for Different Purposes    443
The General Ledger    443
Review and Vocabulary    447
Practice    448

Learning Goal 24:

Use a Journal 449

The Purpose and Structure of a General Journal 449
Overview    449
The Structure of a General Journal    450
Recording Transactions in a General Journal    451
How Transactions Are Recorded in a
General Journal    451
The Best Way to Analyze Transactions
and Accounts    454
Overview: Analyzing Transactions    454
T Account Analysis     455
Review and Vocabulary    465
Practice     467

Learning Goal 25:

Use a Basic Accounting
System 479

Practical Forms of the General Journal and
the Ledger Account 479
A More Realistic Journal 479

Contents

xii

Home

Home || Book Publications || Professor’s Office || Student Info & Resources || Useful Links

Worthy & James Publishing is a provider of basic accounting books covering fundamental accounting principles, business accounting, and business math. Topics in financial accounting and business accounting covered include the balance sheet, the income statement, financial ratios, and bank reconciliation.