136 pages [55 self-teaching + 81 self-quizzes with detailed answers]
Section 1: Why we use accruals, deferrals and other adjustments. The difference between cash basis and accrual basis accounting.
Section 2: Accrued revenue. How to record accrued revenue. Examples of different kinds of accrued revenue. Computing and accruing interest receivable. How failure to accrue revenue affects the financial statements.
Section 3: Accrued expenses. How to record accrued expenses. Examples of different kinds of accrued expenses. Computing and recording interest payable. How failure to accrue expenses affects the financial statements.
Section 4: Revenue collected in advance (unearned revenue). How to record unearned revenue. How to accrue revenue earned when the revenue collected was originally recorded in a revenue account v. an unearned revenue account.
Section 5: Prepaid (deferred) expenses. Recording prepayments and adjustments. How to accrue expenses when prepayments were recorded in an expense account v. a prepaid (asset) account.
Section 6: Other adjusting entries. How to compute and record the adjusting entry for bad debt expense for tax purposes v. book purposes. Adjusting entries for depreciation and various cash accounts.
Section 7: From unadjusted to adjusted trial balance. The chart of accounts. Preparing the unadjusted trial balance, entering the adjustments and preparing the adjusted trial balance. A summary of how the adjusted trial balance is used to prepare the income statement, balance sheet and statement of retained earnings. Basics of the post-closing trial balance.
Publisher: AIPB
Yumiko –
The contents are great. Only one confusing part (as I’ve been doing bookkeeping a bit), CPA&Auditors use the expression “deferred revenue” instead of “Revenue collected in Advance” or “Unearned revenue” in real practice. It would be nice to add “deferred revenue” expression in your course. Or, my understanding wrong ?
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Kathleen –
I thought the course materials were great. Examples & practice tests help my confidence going into the test at Prometric. However, the final exam in the workbook was nothing like the Prometric exam. I ran out of time and almost failed!
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Alejandro –
Good information on one used the adjusting entries, reminded me of the principal accounting course..
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Vanessa –
I found the book to be very informative with user friendly examples for understanding.
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