Financial Accounting: Tools for Business Decision Making, 7th Edition

SUBJECT INDEX

A

Accelerated-depreciation methods, 477

Accounting cycle, 191–192

Accounting equation, 103–104

Accounting information system the account, 111–116

accounting transactions and, 102–110

recording process steps and, 116–128

trial balance and, 129–132

Accounting principle changes, 694

Accounting transactions, 102–110

accuracy and, 109

balancing accounting equation, 103

expanded accounting equation, 104

investment of cash by stockholders, 104–105

new employee hiring, 108

note issued in exchange for cash, 105

payment of cash for employee salaries, 108–109

payment of dividends, 108

payment of rent, 107

purchase of insurance policy for cash, 107

purchase of office equipment for cash, 105

purchase of supplies on account, 108

receipt of cash in advance from customer, 105–106

services performed for cash, 106–107

summary of, 109–110

transaction analysis, 103–109

Accounts, 111–116

basic form of, 111

debit and credit procedures and, 112–114

debits and credits, 111–112

journalizing and, 118

Accounts payable

operating activities and, 11

statement of cash flows and, 638

Accounts receivable, 106–107, 399–407

aging the accounts receivable, 405

allowance method for uncollectible accounts, 402

bad debt expense and, 401

direct write-off method and, 401–402

estimating the allowance and, 404

percentage-of-receivables basis, 404

recognition of, 399–400

recording estimated uncollectibles and, 402–403

recording the write-off on an uncollectible account, 403

recovery of an uncollectible account, ...