Post closing trial balance consist a list of ledger accounts balances and it is prepared after closing entries are passed and posted to ledger accounts. It is the final step in accounting cycle. As the name implies, it is prepared when Read More …
Category: Accounting Cycle
Accounting Cycle is the process of recording, classifying, presenting and interpreting the business transaction leads to financial statements
Closing Entries – Process, Types and Examples
Closing entries are basically closing journal entries which are based on the balances of adjusted trial balance and made at the end of accounting period. Books of account are closed at the end of accounting year. This means that balances in nominal Read More …
Accounting Worksheet Preparation, Format and Example
Accounting worksheet is a very useful tool prepared by bookkeepers and accountants in orderly way to summarize the data for financial statement. It is the concluding step of accounting cycle. This Worksheet is comprised on year end reports like unadjusted Read More …
Adjusted Trial Balance – Definition, Types, Format & Examples
Definition An adjusted trial balance consists a list of all ledger accounts and finalized after recording the adjusting entries. Adjusted trial balance contains both the elements of balance sheet and income statement. This is actually can be viewed as the Read More …
Adjusting Entries – Definition, Types and Examples
Definition Adjusting entries also known as adjusting journal entries are made at the end of each financial year before preparing financial statements. In the previous discussion, Mostly adjusting entries are based on matching principle where accountants match revenue and expense in Read More …
Unadjusted Trial Balance Preparation, Format and Examples
Unadjusted trial balance can be prepared after posting journal entries into ledger accounts and it is the third step of accounting cycle. First, let us understand about basic concept of trial balance. Definition A Trial Balance is two columnar statement Read More …
Posting Journal Entries to T-Accounts Ledger
We have made the journal entries in the general journal, now they must be posted in to T-accounts and ledger accounts which is the second step of accounting cycle. But before posting, we will discuss this accounting topic in detail T-Account Read More …
Journal Entries Format and Examples
What is General Journal? Journal entries are used to record business transaction and the first step in accounting cycle. This process continues throughout the accounting period. In order to record journal entries in general journal, bookkeepers need to find out Read More …