1. The document outlines the key approaches and steps in the book keeping process. It discusses the accounting equation approach, traditional debit and credit approach, and the formal process of accounting.
2. It then defines what an account is - a record of transactions related to a person, property, revenue, or expense. Accounts have two sides, debit and credit. Accounts are personal, real, or nominal.
3. Golden rules for each type of account are outlined for recording transactions according to the accounting equation approach. A special goods account and trial balance are also briefly explained.
A talk given before the ABA's Legal Technology Research Center in April 2014 by Joshua Lenon.
Every year during tax season, you probably end up thinking the same thing: “I’ll be more organized next year!” We’re here to help you follow through with that goal this year – or maybe next.
- Get a handle on the basics of accounting
- Understand how legal accounting differs from regular accounting
- Learn how to pick and integrate the best accounting tools for your practice
A talk given before the ABA's Legal Technology Research Center in April 2014 by Joshua Lenon.
Every year during tax season, you probably end up thinking the same thing: “I’ll be more organized next year!” We’re here to help you follow through with that goal this year – or maybe next.
- Get a handle on the basics of accounting
- Understand how legal accounting differs from regular accounting
- Learn how to pick and integrate the best accounting tools for your practice
For most law firms, billing and payment collection is a business-critical activity. This workflow, however, is typically cumbersome, tedious, and time consuming — taking lawyers away from the very work that they can bill for. Until now.
Clio has built-in features that remove the burden associated with billing and collections. These features help law firms through the life of a case: from accepting trust deposits through to invoicing and managing firm finances.
In this webinar, we’ll teach you how to utilize an innovative billing and payment collection workflow that includes our newly released Trust Request feature. Plus, you will learn how to streamline:
Collecting payment
Documenting work completed and expenses
Issuing customized bills
Depositing and transferring funds
Trust documentation
Assets are anything of value that is owned or due to business, understand the dynamics of accrual accounting and balance sheet.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
Understand how Accrual Accounting method records transaction as they occur and it is identified by looking for few key indicators in the balance sheet.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
Law firms are required to hold money in trust. This money is not their own, so they have a fiduciary responsibility to protect and account for it.
A lawyer’s responsibility to hold client funds separate from their own seems simple in principle, but with strict rules surrounding trust accounts, many lawyers run into challenges with maintaining them correctly. From documenting deposits and disbursements to handling varied payment methods by clients, trust accounting remains a compliance minefield for law firms.
Is your law firm at risk of committing trust account errors?
Learn how to avoid trust account mistakes while improving your firm’s billing process during Clio’s one-hour webinar. In this presentation you’ll learn:
The rules for managing trust accounts
Differences between general bookkeeping & legal accounting
How to reconcile trust accounts
How Clio’s newest trust accounting features can help
Cash Management Tips and Techniques for Small BusinessesSkoda Minotti
Monitoring, forecasting and managing cash flow are the most important aspects of running a business and each can help small businesses not only survive, but thrive. Running out of cash is the biggest reason for the failure of small businesses. Not knowing and managing your cash position at all times means you are not maximizing your cash and utilizing it most effectively and efficiently.
The GFC might be over, but the cashflow squeeze on Australian SMEs shows no signs of ending. There are plenty of late payers out there and with many small businesses in expansion mode, growth plans are putting extra pressure on cashflow. In this webinar, SME specialist Marc Peskett from accounting firm MPR and SmartCompany editor James Thomson will discuss:
• How to keep your cashflow in check
• Strategies to keep late payments low
• The tools available to help you recover debts
• The new cashflow challenges – growth
AndersonMichael:Assignment 4-Reporting to Management.pdfmbanderson1
Business Accounting Presentation explaining Balance Sheet, Profit and Loss Statement, Statement of Cash Flows. Cash basis accounting and accrual basis accounting. Reporting financial statements to management.
In this webinar, learn about accounting for the unexpected using QuickBooks. From issuing credit memos and refunds to adding finance charges, make a positive change with QuickBooks.
1. Approaches to Book Keeping
1. Accounting Equation Approach
g q pp
• Transaction is recorded in such way that
equation is always maintained
2. Traditional / Conventional Approach
• Transaction is recorded in such way that
accounts are debited & credited with same
amount
narain@fms.edu
2. Formal process of Accounting
1. Identification of transactions
2. Preparation of vouchers
3.
3 Recording in Subsidiary books: Journalising
4. Posting to Ledger: Ledger posting
5. Preparing Trial Balance
6. Drawing GPFS
g
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3. Account?
Acco nt?
• An account is an aggregated description of
gg g p
all the transactions occurred in the
accounting period related to a person,
g p p
property, revenue or expense.
• Every account is a T-shaped and has two
T shaped
sides Debit and Credit.
• Accounts are of three types –
• Personal
• R l
Real
narain@fms.edu
• nominal
4. Check d t di
Ch k understanding
Identify Real, Nominal & Personal accounts
Capital introduced Drawings A/c
Cash received Interest paid
Discount received Bank A/c
Bank overdraft Bad debt written off
Outstanding salaries Prepaid rent
Purchases A/c Sales A/c
Carriage inward Bad debt recovered
Interest accrued A/c Goodwill
Plant & Machinery narain@fms.edu
Leasehold property
5. Golden rules of Accounting
• For personal accounts –
• Debit the Receiver & credit the Giver
• For real accounts –
• Debit what comes in & credit what goes out
• For nominal accounts –
• Debit all losses and expenses & credit all gains
and incomes
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6. Golden rules under the
Equation Approach
Asset
A t Liability
Li bilit
Increase (+) Debit Credit
Decrease (-) Credit Debit
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7. Check your understanding
Will you do debit or credit?
y
1. Increase in Revenue
2.
2 Decrease in expenses
3. Drawing
4. Further capital introduction
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8. A Special Account: Goods
• Too important to balance
p
• This real account is broken into –
• Sales Account – Nominal
• Purchase Account – Nominal
• Sales Return Account – Nominal
• Purchase Account – Nominal
• Closing Account – Real
Acco nt
narain@fms.edu
9. Trial Balance
• An off-ledger statement
• Lists all account balances
• A debit balance represents: Asset or Expense
• A credit balance represents: Liability or
co e
Income
• Nominal accounts are not balanced
• Rather transferred to P/L A/c via closing entries
narain@fms.edu