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Chapter 2: The Accounting Process

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  • Page ID
    98030
    • Henry Dauderis and David Annand
    • Athabasca University via Lyryx Learning

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    Chapter 2 Learning Objectives
    • LO1 – Describe asset, liability, and equity accounts, identifying the effect of debits and credits on each.
    • LO2 – Analyze transactions using double-entry accounting.
    • LO3 – Prepare a trial balance and explain its use.
    • LO4 – Record transactions in a general journal and post in a general ledger.
    • LO5 – Define the accounting cycle.

    Chapter 2 looks more closely at asset, liability, and equity accounts and how they are affected by double-entry accounting, namely, debits and credits. The transactions introduced in Chapter 1 for Big Dog Carworks Corp. are used to explain debit and credit analysis. The preparation of a trial balance will be introduced. Additionally, this chapter will demonstrate how transactions are recorded in a general journal and posted to a general ledger. Finally, the concept of the accounting cycle is presented.

    This page titled Chapter 2: The Accounting Process was last modified on Fri, 23 Jun 2023 01:02:43 GMT and is shared under a CC BY-NC-SA 3.0 license and was authored, remixed, and/or curated by Henry Dauderis and David Annand (Lyryx Learning) .