The four steps in the bank reconciliation process is as follows: Compare the deposits Adjust the bank statements Adjust the cash account... View Article
The difference between trial balance and balance sheet is that trial balance is not a part of financial statements while the balance sheet is one... View Article
Yes, the trial balance contains expenses and expenses are recorded on the debit side. Also read: MCQs on Trial Balance Difference Between... View Article
Salaries and wages are expenses incurred by the business during an accounting period. Therefore, it has to be shown on the debit side of the... View Article
Accounts payable is a liability account and therefore should have a credit balance. The credit balance is indicative of the payment that needs to... View Article
A loan can be considered as a debit balance when the loan is given out by the business while it can be considered as a credit balance when it is... View Article
A trial balance is called a trial balance because it is the first step taken for the preparation of the final statements of a business firm. A... View Article
The trial balance includes a list of the totals of all general ledger accounts. It contains all the debit and credit balances. Also read:... View Article
Trial balance is used to prepare to ensure that entries in a bookkeeping system are arithmetically correct. Also read: MCQs on Trial Balance... View Article
Depreciation is a contra asset account. Also read: True and False Questions on Depreciation What Is Depreciation MCQs on Depreciation What... View Article
Depreciation is an asset or more specifically contra asset. Contra assets are negative assets that reduce the value of other accounts. Also... View Article
The simplest method of depreciation is the straight-line depreciation method. Also read: True and False Questions on Depreciation What Is... View Article
The other name for the reducing balance method is called the written down value method. Also read: True and False Questions on Depreciation... View Article
In the straight-line method of calculating depreciation, a fixed amount is depreciated in every accounting period, while in the written down... View Article
Obsolescence is referred to as the state of becoming obsolete. It is applied in the case of fixed assets in accounting which become obsolete at... View Article
Salvage value is referred to as the estimated value of an asset at the end of its useful life on which it can be resold. Or it can be said as the... View Article