Warren/Reeve/duchac's Financial & Managerial Accounting, by Carl S. Warren, James M. Reeve, Jonathan Duchac

By Carl S. Warren, James M. Reeve, Jonathan Duchac

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Then post to the ledger. JOURNAL DATE PAGE POST. REF. DESCRIPTION DEBIT 7 CREDIT 1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 10 10 11 11 12 12 13 13 14 14 15 15 ACCOUNT DATE Income Summary ITEM ACCOUNT NO. POST. REF. 34 BALANCE DEBIT CREDIT DEBIT CREDIT Copyright 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s). Editorial review has deemed that any suppressed content does not materially affect the overall learning experience.

Comparing each item in a financial statement with a total amount from the same statement. F ILL IN THE B LANK —P ART A Instructions: Answer the following questions or complete the statements by writing the appropriate words or amounts in the answer blanks. 1. The ____________________ ______________ concept assumes that the economic life of the business can be divided into time periods. 2. Under the _____________ basis of accounting, revenues and expenses are reported in the income statement in the period in which cash is received or paid.

Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s). Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it. 42 Chapter 3 E XERCISE 3-1 Don Taylor closes his books at the end of each year (December 31). On May 1 of the current year, Don insured the business assets for three years at a premium of $5,400.

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