会计英语分录.ppt

《会计英语分录.ppt》由会员上传分享，免费在线阅读，更多相关内容在应用文档-天天文库。

1、调整分录PriorPeriodsCurrentPeriodFuturePeriodsTransactionPaidcashinadvanceofincurringexpense(createsanasset).EndofCurrentPeriodAdjustingEntryRecognizesportionofassetconsumedasexpense,andReducesbalanceofassetaccount.ConvertingAssetstoExpensesExamplesInclude:DepreciationSuppliesExpi

2、ringInsurancePoliciesConvertingAssetstoExpensesJan.1Dec.31$2,400InsurancePolicyCoveragefor12Months$200MonthlyInsuranceExpenseOnJanuary1,WebbCo.purchasedaone-yearinsurancepolicyfor$2,400.ConvertingAssetstoExpensesInitially,coststhatbenefitmorethanoneaccountingperiodarerecordedasas

3、sets.ConvertingAssetstoExpensesThecostsareexpensedastheyareusedtogeneraterevenue.ConvertingAssetstoExpensesIncomeStatementCostofassetsusedthisperiodtogeneraterevenue.BalanceSheetCostofassetsthatbenefitfutureperiods.ConvertingAssetstoExpensesDepreciationisthesystematicallocationof

4、thecostofadepreciableassettoexpense.Depreciableassetsarephysicalobjectsthatretaintheirsizeandshapebutlosetheireconomicusefulnessovertime.TheConceptofDepreciationTheportionofanasset’sutilitythatisusedupmustbeexpensedintheperiodused.Cash(credit)FixedAsset(debit)Ondatewheninitialpay

5、mentismade...Theasset’susefulnessispartiallyconsumedduringtheperiod.Atendofperiod...DepreciationExpense(debit)AccumulatedDepreciation(credit)TheConceptofDepreciationOnMay2,2007,JJ’sLawnCareServicepurchasedalawnmowerwithausefullifeof50monthsfor$2,500cash.Usingthestraight-linemetho

6、d,calculatethemonthlydepreciationexpense.$2,50050=$50Depreciationexpense(perperiod)=CostoftheassetEstimatedusefullifeDepreciationIsOnlyanEstimateJJ’sLawnCareServicewouldmakethefollowingadjustingentry.Contra-assetDepreciationIsOnlyanEstimateJJ’s$15,000truckisdepreciatedover60month

7、sasfollows:$15,00060months=$250permonthDepreciationIsOnlyanEstimateAccumulateddepreciationwouldappearonthebalancesheetasfollows:LearningObjectiveLO4Toprepareadjustingentriestoconvertliabilitiestorevenue.PriorPeriodsCurrentPeriodFuturePeriodsTransactionCollectcashinadvanceofear

8、ningrevenue(createsaliability).EndofCurr