Mastering Accounting Online - Complete Bookkeeping Course

Explore the cash and accounts receivable accounts using the T account, debit and credit rules, and basic journal entries, including invoicing and cash receipt examples.

Learn how to record invoices by pairing sales credits with accounts receivable debits, balance journal entries, and understand the debit and credit effects when invoicing customers.

Learn how to record cash receipts by debiting the cash account and crediting accounts receivable when a customer pays, turning an outstanding invoice into cash.

Record expenses accurately by identifying expense type and the corresponding general ledger account, then apply debits and credits to office supply expense and accounts payable, using a $100 ink example.

Learn how to record payments to vendors using accounts payable and cash, applying debit and credit rules in a check run, with a $100 ink expense example.

Learn how purchase orders drive accounts payable by recording a non-ledger paper purchase order, matching vendor invoices to orders, and handling purchase variances when prices or quantities differ.

Record a $100 cash receipt with a T account, debit cash and credit accounts receivable, reinforcing the five basic general ledger accounts.

Practice recording a $5,000 invoiced sale by using T accounts to debit accounts receivable and credit sales, illustrating the journal entry and revenue recognition.

Record a $50 utility expense and corresponding accounts payable using a T account, debit the utility expense and credit accounts payable to reflect the received bill.

Record a $75 telephone bill payment using t-accounts, debiting accounts payable and crediting cash to reflect the liability reduction and cash outflow.

Understand the balance sheet as one of three major reports, grouping assets, liabilities, and equity to show cash, accounts receivable, accounts payable, and retained earnings.

Discover how the income statement, or profit and loss, tracks sales, expenses, and net income, and how budgets and prior-year comparisons reveal performance.

Learn to build a cash forecast by projecting cash on hand, accounts receivable inflows, and accounts payable outflows, including payroll, to produce a three-month to year-long cash forecast.

Explore a real-world balance sheet example from Amazon to show assets, liabilities, and equity, and highlight accounts like cash, accounts payable, unearned revenue, and retained earnings.

Explore a real life income statement (PNL) with revenue by labor, materials, and subcontractors, compare actuals to budget, and analyze expenses to determine net income.

Compare cash basis and accrual basis to see how expenses are recorded by receipt dates versus invoice dates, and learn why accrual uses invoice dates for accurate financial statements.

Explore accruals and accrued expenses, recording a pre-bill telephone expense via a journal entry to the accrual account, and its impact on the balance sheet and profit and loss.

Learn to manage accrued expenses by recording a missing January telephone bill with a journal entry, then move the amount to accounts payable when it arrives in February.

Explain accruals as a chain of events: recognize January utility expense, record an accrual and accounts payable, then bill arrival debits the accrual and credits accounts payable, followed by payment.

Record a $100 accrual for a telephone expense before invoicing, using journal entry with a debit to telephone expense and a credit to accrual liability to close the month accurately.

Learn how prepaid expenses work under accrual accounting by recording auto insurance prepayments as assets, then recognizing $100 monthly as expenses and tracking related accounts payable.

Record January's $250 prepaid bill by allocating $100 to expense and $150 to prepaid. Then pay and clear accounts payable; in February move $150 from prepaid to auto expense.

Master prepaid expenses by recording a 300 journal entry that shifts funds from prepaid expenses to auto insurance expense, using t accounts to adjust assets and expenses.

Practice recording prepaid expenses by transferring $100 from the prepaid asset to the telephone expense with a debit to expense and a credit to prepaid, reinforcing asset versus expense treatment.

Learn to record prepaid expenses by moving $60 from prepaid to rent expense using debits and credits, and see how this impacts the income statement and balance sheet.

Learn how to record customer deposits as cash and a liability, then after fulfillment credit sales, debit accounts receivable, and credit accounts receivable to clear the deposit.

Explore two methods for recording sales discounts in accounting: a separate sales discount account or a single sales account. See how each method impacts revenue and the general ledger.

Learn how to record sales tax from a general ledger perspective, including charging 6% on a $100 sale, recognizing sales tax payable as a liability, and paying the state.

Learn how to record deferred revenue and monthly entries for annual subscriptions, recognizing revenue over time and maintaining deferred revenue as a liability.