Accounting: From Beginner to Advanced!

Master the basics of accounting by exploring core principles and assumptions. Learn how to prepare financial statements, a foundational section you must study to understand the rest.

Learn how accounting records every business transaction, from rent and salaries to revenue and expenses, using principles like monetary unit, time period, and historical cost, under GAAP and IFRS frameworks.

Discover why accounting is the language of business and learn how to identify, record, and prepare the income statement, balance sheet, and the statement of cash flows.

Explore the historical cost, revenue recognition, matching, and full disclosure principles, and the going-concern and business entity assumptions guiding credible financial statements.

Explore the accounting equation and its balance, where assets equal liabilities plus owner's equity, with practical examples of assets like car, house, cash, and equipment.

Apply double-entry accounting to show how each transaction affects the accounting equation, detailing increases and decreases in assets, liabilities, and owner’s equity using cash, supplies, equipment, land, and common stock.

Learn the basics beyond basics, including T accounts, debits and credits, journalizing, posting, and the general ledger. Identify yearly and daily tasks in the accounting department.

Apply t accounts to understand debits and credits across assets, liabilities, and stockholders' equity. Follow normal balances and the double-entry system, as introduced by Luca Pacioli.

This lecture demonstrates journalizing and posting January transactions for an architecture firm, uses t accounts and ledgers, and builds a trial balance to verify debits equal credits.

Stefan guides solving a practical accounting problem by recording cash, stock, rent, supplies, payables, revenues, and expenses, posting to ledgers, and building a balanced trial balance to compute net income.

Explore end-of-year accounting by mastering deferrals, accruals, and the procedures for adjusting entries. See how these concepts shape the year-end financial statements in the accounting department.

Learn how end-of-year adjustments update accruals and deferrals—accrued expenses and revenues, prepaid expenses and unearned revenues—to keep financial statements accurate, with a brief note on depreciation.

Close temporary accounts: revenues, expenses, and dividends, to retained earnings. Determine net income as the difference between revenues and expenses, then credit retained earnings and close dividends accordingly.

Construct a classified balance sheet by organizing current assets, property, plant and equipment, and current liabilities, then determine cash and reconcile total assets with liabilities and stockholders' equity.

Learn how internal controls prevent fraud, perform bank reconciliations, and manage cash, including petty cash handling, to safeguard business finances.

Establish clear responsibilities, maintain records, and segregate duties to protect assets and ensure reliable financial reporting; integrate technology and audits, guided by Sarbanes-Oxley principles.

Perform bank reconciliation to explain differences between company's cash balance and the bank statement, including outstanding checks, deposits in transit, NSF checks, and bank collections; update records with journal entries.

Learn how to manage cash and strengthen internal controls, from recognizing cash and cash equivalents to speeding collections, planning spending, and using a voucher system for disbursements.

Explore how to establish and manage a petty cash fund for accidental and unusual purchases, record reimbursements, monitor cash balance, and resolve cash over or short scenarios.

Learn how to handle customers who do not pay after credit sales and what actions you should take.

Examine journal entries for Stefan under the direct write-off method and the allowance method, including cash receipt, bad debt expense, and reinstatement of accounts receivable.

Determine adjusting entries for doubtful accounts given accounts receivable of 2 million and sales of 25 million, using either percentage of sales or aging of receivables.

Explore merchandising businesses, including merchandisers and retailers, and how they buy inventory and resell it for profit, with examples like gas stations and clothing stores.

Learn the seller’s perspective in merchandising accounting, recording sales, discounts, returns and allowances, and the impact on accounts receivable, revenue, cost of goods sold, and inventory.

Explore how buyers record inventory purchases, discounts, returns, and allowances from a retailer's perspective, using journal entries for purchases, payments, and adjustments to reflect cost.

Explore how shipping terms decide inventory ownership and who pays, comparing FOB shipping point and FOB destination with Seattle and Chicago, and illustrating related journal entries.

Learn how merchandisers buy and resell inventory for profit, and why tracking and managing inventory—like Walmart's strong system—keeps a business from going out of business.

Compare fifo, lifo, and the weighted average cost method for inventory valuation, showing how each affects cost of goods sold, gross profit, and tax outcomes.

Explore how fixed assets like cars and equipment depreciate over time and how to allocate their cost. Learn multiple depreciation methods and their tax implications.

Record fixed assets at total cost, including shipping and assembly, to bring them to use. Allocate lump-sum purchases by appraised values to building, land, and land improvements.

Apply the straight-line method to compute depreciation as (cost minus salvage value) divided by useful life, highlighting depreciation expense and accumulated depreciation.

Apply the double declining balance method with a 40% rate on net book value for a 120,000 asset over five years, illustrating depreciation, depreciable cost, and salvage of 20,000.

Apply partial year depreciation with the straight-line method, adjusting the first and last-year months. Use revised depreciation when estimates change, updating remaining life and salvage value to determine future depreciation.

Learn how to dispose of fixed assets with proper journal entries, removing equipment from the balance sheet, accounting for accumulated depreciation, book value, and gains or losses on sale.

Master liabilities by focusing on bonds as a key security instrument in business, learning them with ease and fun, because knowing bonds underpins accounting, finance, and business success.

Explore current liabilities such as accounts payable, sales taxes payable, and short-term notes payable, and learn about wages, payroll taxes, estimated liabilities, warranties, and contingent liabilities with journal entries.

price a bond by calculating the present value of the principal and semiannual coupons at the market rate, showing a 170,862 issue price.

Examine bonds in accounting by issuing at 97 percent discount, recording cash received and maturity payoff, and journalizing semiannual interest with straight line amortization.

Apply the effective interest method to discount on bonds payable, calculate interest expense from the carrying amount using the market rate, and amortize the discount over semiannual periods until retirement.

Learn how to record premium on bonds payable using the effective interest method, calculate semiannual interest expense from the carrying amount and market rate, and amortize the premium until retirement.

Learn bond pricing by calculating present values of semiannual coupon payments and par value to determine discounts or premiums using market rates.