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When posting closing entries do you post each expense and each revenue amount to income summary so that each account is cleared out for the next period?
You journalize and post each income or expense individually to its own income/expense account, but use the total of all the income or expense accounts to jounalize/post to the income summary.
What are the steps in the accounting cycle?
The 8 steps in an accounting cycle areRecord transactions in journal.Post transactions to ledger accounts.Prepare adjusting entries at end of fiscal period and post to ledger accounts.Prepare summary of account balances.Prepare income statement from revenue and expense account balances.Close revenue and expense accounts to Retained Earnings.Prepare post-closing summary of account balances.Prepare balance sheet and statement of cash flows.
Where to post supplies expense under income starement?
In expenses because they are the cost of doing business
Does mortgage payable post to the income statement or balance sheet?
Mortgage payable is liability so it is part of balance sheet and not part of income statement.
Are sales on a post closing trial balance?
No, Sales, as a Revenue Account of the Income Statement, is a temporary account, which should not appear on the post-closing trial balance.
When posting closing entries do you post each expense and each revenue amount to income summary so that each account is cleared out for the next period?
You journalize and post each income or expense individually to its own income/expense account, but use the total of all the income or expense accounts to jounalize/post to the income summary.
How can i post general supplies both in the income statement and the balance sheet?
Supplies are not listed on the Income Statement (ever). Supplies whether general or what are listed on the Balance Sheet, Trial Balance, etc as Assets. The only time you should ever see the term "supplies" on an Income Statement is in the form of Supplies Expense, which is the cost of Supplies used up during the normal operating of a business.
What are the steps in the accounting cycle?
The 8 steps in an accounting cycle areRecord transactions in journal.Post transactions to ledger accounts.Prepare adjusting entries at end of fiscal period and post to ledger accounts.Prepare summary of account balances.Prepare income statement from revenue and expense account balances.Close revenue and expense accounts to Retained Earnings.Prepare post-closing summary of account balances.Prepare balance sheet and statement of cash flows.
Where to post supplies expense under income starement?
In expenses because they are the cost of doing business
Does mortgage payable post to the income statement or balance sheet?
Mortgage payable is liability so it is part of balance sheet and not part of income statement.
Are sales on a post closing trial balance?
No, Sales, as a Revenue Account of the Income Statement, is a temporary account, which should not appear on the post-closing trial balance.
What is post tax income?
Post as used here means "after". In this case, income AFTER taxes are paid.
What is the difference between profit and loss account and budget?
Budget is pre-facto and P&L is post-facto. Budget can be defined as projected Income/P&L statement.
If a chapter 13 bankruptcy has not been discharged can a creditor be added?
The bankruptcy is not discharged, the debts are. A creditor can be added if the plan is not too far along or if you have the excess income to pay whatever the creditors are being paid (percent of debt) for the balance of the plan. If it is a post-filing debt, it cannot be added.
Can I contact debtor regarding funds owed to me post petition or after bankruptcy filing date?
Yes, post petition debt are not dischargeable and a post petiton creditor is not subject to the automatic stay (meaning the court will not prevent you from collecting on the debt)
What should A post-closing trial balance should only contain?
A post-closing trial balance will contain, assets, liabilities and owners equity accounts.Assets include, current and long term assetsliabilities include, accounts payable, notes payable or any other "liability" the company currently has.Owners Equity accounts include such things as Retained Earnings and CapitalYou generally have 3 versions of a Trial Balance, your Trial Balance, Adjusted Trial Balance, and Post-Closing Trial balance.The post-closing trial balance is what you use once your expense accounts & revenue have been closed to the income statement.
Where do you post unrealized gains and losses in Income Statement?
After you've worked out profit for the year create a new line called "Other Comprehensive Income". Under this put your "Gain/Loss on revaluation" or "Gain/Loss on available for sale investments". Then add on to/take it off your profit for the year to give you "Total Comprehensive Income For The Year".
