]<gj]<]<j<^]<]

W




W
K







K

? ? ? J ?
K



K

W
K



J

K


W
WW
W
W
W
WW
W
W
W
W

W


J

W

W

K
W
W
W


]<gj]<]<j<^]<]

--

J

W
K

W
W




W

W

W





W

--

J

Purchases W



W



EJ F
J J
K
K

W
L
K
L
WL

W
L
W



L L
L

--

J

W
K
W


L L
??L

L
K

Purchase Returns and AllowancesW


K
LL
L
K
Contra Account
K

W
LEFW
K

--

J

W


L J L
L

LEFW
L


WL


L J L
L

EF
EFEF
W

--

J

J L


L L L L
L L
EF


Purchase Discount W
W



Trade DiscountW

K

W

--

J

Cash DiscountW

K
L
K

W
L

K

W
WLLW




W
WL

ZZ
EF

--

J

WL


L L
??L

W
L

W

=Z
EJ F
WL


L ??L

L
L


L
K

--

J

W

K
WL



L ??L
L

Freight in Expenses W

K


K

W
L
K
L
K

--

J

WL


L L
L


WL


L L
L



K

K
Net PurchasesW
W
CCC
CCC CCC W
W
CCC
ECCCF CCC
CCC

--

J

W
W

W
L K
K
L K
K
L K
L K
W
J
LLW J
LL
J
W
W K


L L
J L
??
L L
L
??
L J L
L

- -

J

??
L J L

L
L
? ?

WE
L


L L



L


L L

- -

J

L


L J L


L


L J L


W (

W
W

EF

- -

J

EF
W
WECFEF
. EF .

EF K
K
EF K
K
EF K
K
EF K
K

W
W
LJ
K
KLJ
KLJ
KLJ

W
J
LLW J
L
K J

- -

J

W
W
K

W
W





W

W

W





W

- -

J

Sales

K
K

W

KL
L
WKL

W
L
K

W


L L
L

W





- -

J

W


L L
L

KELF
K

Sales Returns and AllowancesW

K
LL
KL
KContra Account
W
LEF
K
WEF


L L
J L

- -

J

W
LEF

K

WEF


L L
J L


EF
EFEF
W

L


L L L L

L L

EF





- -

J

Sales DiscountW


K
KEJ F


L
K

W
LL

K

W
EF


L J L
L

- -

J

EFKL
W
W
=EF
EJ F{

WL
EF


L
L
L
J L


W
L
W
EF


L L
J L

- -

J

K

W
LEF
K
W


L L
L


J L


L L L L

W
=

- -

J

WL


L
L
L
J L

K
Net SalesW

W

CCC
CCC W
ECCCF CCC
CCC
W
W
W
L K
K
L K
K

- -

J

L K
KLL
KL K
L K
K
KL K

W
J
LLLW J
L
J
W
W K


L L
L
??
L L
L
??
L J L
L
??
L L
J L

- -

J

??
L L
J L
??
L
L
L
J L
??

W
L


L L
L ??L

- -

J

L


L L ??L
L ??L


L


L L


L


L ??L


W

W
EF



- -

J

EF
W
WECFEF
KEF J
KEF J
KEF J
EF J
K
K
EF J

W
W
L J
K
KL J
L J
K
L J
K
KL J
KL J
KL J
KL J

KW

- -

J

W

W
K


W
W






W

W

W

- -

J

W


K

Cost of Good SoldW

K
K


K


K
K
L??L
L ??
LK
KLL

- -

J

W??L
WW


L L
??L

WW


L ??L
L

??

K
W

W
G
W

W

EF W

W
- -

J

EF W

EF W

W



W



K
W
LL

L
L
??L
L
L
L
L
L
L
L
L
L
- -

J

L
L
L
L
L
L
L
L
L
L



W
LL J
LL J
LL J
J

LLW






??

- -

J

EF

W


L L
??L

W


L ??L
L

- -

J

LLW

W
EF

W


W
EF

W


EF W
EF

W
W




W


- -

J

EF

W



LLW
W
W




W



W
W

- -

J

W





W

L
EHF

- -

J

WW
WL


L L

L
L
L
L
L
L
L
L
L
L

WL


L
L
L
L
L
L

- -

J

WL
L


L ?L L ?L

EF

WL


L L
L

W
L


L
L

- -

J

EF
W
W
W
J J
J J

K

J J J J

J J
J

W

J J
W
LL


L
L
??L
L

- -

J

L
L
L
L
L
L
L
L
L
L
L
L
L
L
L



W
LL J
LL J
J

- -

]<gj]<]<j<^]<]

--

J

W
K

W
W






W

W

W





W

- -

J

K

K

W

K

W

W

K

K
K

K
K
K

K

- -

J

W
W





W
W





Petty CashW

KKK

K

W
W E
L
K

- -

J

W
K

W


L L
L

W E

K
K

WW
L
L
L
K

- -

J

WW

L
L
L
L





WW


L
L
L
L
L

K

W

- -

J




L
L


K
W



L
L

W
W



K
W

- -

J




L CCC
L CCC



W

K
W



L CCC
L CCC

- -

J

EF
W
WECFEF
EF K
K
KEF K
EF K
K
KLLEF K

K
W



K

W
K J
J

- -

J

W

W
K

W
W

K




W

W

W





W

- -

J

Reconciliation of Bank Statement

K

W
J J
K

L
KJ

J J
K

K


EF
KL

- -

J

W

WL

W J
K


EF
EF
K

W J
K
L
K
K
K

W J
K

K

W J
K

- -

J

K
K

W J
K

K
K

W
W
J
K

K
K

J
K

K
K

J
K

J
K

- -

J

J
K
W

W
L
L
W
W
J
J
K
K J
W
KL J
WJ


LJ
K
W
KLL J
K J
W
WW

- -

J

W
L

WW

EF
EF

W




W

EF

EF

- -

J

WW


L L

L
EFL

L
L
L

- -

J

EF
W
WE8FE9F
K EF K
EF K
K
EF K
K
EF K
K
W
WLL
K LL

W

K

K
LL
K

KLL
W
K J
K J

- -

J

W

W
K

W
W



W

W

W





W



K

- -

J

K




K

FASB
WEF
Trading Securities
Held-to-Maturity
Available-for-Sale


K



K

- -

J

W

W

K
K
LL

W

Z C
W


W


L L
L


K
K

K
LL
W

- -

J


Z C
EF C W

EF W


W


L L

L
L


LL
K

- -

J

EF
W

K

W
KLL

- -

]<gj]<]<j<^]<]

- -

J

W
K

W
W





W

W

W





W


K

- -

J

K
KEF

K

Account Receivable W

W


L CCCC
L CCCC
??


K L

- -

J

W
W
W E


K

W E

KEF

W E
F
KE
Double Debts AllowanceW

W
W K

F
KE
W K



K

K

- -

J

W



J
J
J


KG

W
W
EF K
EF K
WW

KEF

W
WW

K

W
K

- -

J

WW

K

WW

W
WW

W


W
ZC
WW
L

K
L
K
W
W


L L
L

- -

J

WL


L L
L


WW
W
W
CCCC
CCCC W
CCCC
W

WLL
W

W

- -

J

WW

WK

WW

K

W
K

WW

K

LLW
K
W
W
ZC

WW
L
L

W

- -

J

WW E

K
WW E


K
W
WW
W
Z

K
WW
LLE


L L
L

WLLE


L L
L

WL
- -

J

L



L
L
L
F
E

WW
W
CCCC
CCCC W
CCCC
W

LL
W

W EF

- -

J

Bad DebtsW

K
L
W
J
J
WW

K

W

WLLW

L
L
W
L


W
L K
LL K
K

- -

J

W
WL E


L L
L

LL
L
K

W E
CZ
Z

W
ZJ

WLL


L L
L

- -

J

WL


L L
L


W E
W
CCCC
CCCC W
CCCC
W


W
W

W EF



WW
L
W

- -

J

WW

W





L
L

EF

L


L
L

W
W



- -

J

L
K

W
W


L
L


W


L
L

- -

J

W
WECFEF
EF K
K
EF K
K
KEF K
EF K
K
EF K
K

W
WLL
L
KLL

W
K
K

W
K J
KLL J
KLL J

- -

]<gj]<]<j<^]<]

- -

J

W

W
W

W

W

W






W

- -

J

K
K

K

W
J
J
J

Promissory NoteW
EF
KEF
KEFEF

W
LLW
KKKKKKKKKKKKKKKKKKKKKKK
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKL
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKL
EF

- -

J

Bill of ExchangeW
EFEF
KEF
W
LLW
KKKKKKKKKKKKKKKKKKKKKKK
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKL
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKL
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKL
EF
EF

W
EF
L
KLEF

LLW
KLL

W
?? ??

L L L L
L L
?? ??
K

- -

J

W
EF
W
K
K
K
EF K

WW
EF
WEF


L
L
??
WW

K
W
W E


L
L
??

- -

J

K

E


W
WJ


L
L

W J


L
L


WW
EF
K

K

- -

J

K

LLW
K

W
CCZ
Z
Z
ELLFZ
ZLCCZ

J Z
J Z
Z

W


L
L
L
L

- -

J

W

W J


L L
L

W J



L
L
L

L
K

WW

K
KEF

- -

J

EFLW
K

WEF


L J L
L

F
KE


W
EF

K
K

- -

J

EF
W
WECFEF
KEF K
KEF K
KEF K
EFEFEF K
K
EF K


W
W
LL
K
KL
KL
W

- -

]<gj]<]<j<^]<]

- -

J

W
K

W
W

W

W

W






W

- -

J

KK
K

W
K
K
K
K

W
W
Perpetual Inventory
Periodical Inventory

Perpetual InventoryW

K


K

- -

J

Periodical InventoryW

W????L

WW


L L CCCC
??L CCCC


WW


L ??L CCCC
L CCCC



W

- -

J

W
W
Specific Identification EF E
Average Cost E
First in- First Out (FIFO) E
Last in- First Out (LIFO) E

Specific Identification WEF E
F
EKK
K

W
W








W

- -

J

C W


C
C
C
C



K

W

W
W
W

L
L
L
L

- -

J

W


W
E
EF E

Average Cost W E


W


E

Z


CZ

W

W K

C L
C L
C L
C L

- -

J

K


W
Z


Z

{Z

W K


W

J Z
J Z
Z

W K
W

CZ
{CZ
Z

WE

- -

J

W
J Z
J Z
Z

K

First in- First Out (FIFO)WE

K
L
WLL

WZ
L
L

W

- -

J

WE
C
C L
C L


W E
J Z
J Z
Z


Last in- First Out (LIFO)WE

WL

WZ

L

- -

J

W
WE
C
C
C L


W E
J Z
J Z
Z

W

W









K
W

- -

J

EF EF EF



FK
E
K


Cost or Market Price Whichever is LowerW
K
K

K
W


EF
{ EF
EF
EF

- -

J

W
W
KW

W


L ??L
L

K
W
K
W


L ??L
L


W


L L
L

- -

J

W

EF





W

W

W
WECFEF
EF K
K
EF K
K
EF K
K
WEF K
EF K
K

- -

J

W
W


L
L L
L L
L

W
W

J J

- -

]<gj]<]<j<^]<]

- -

J

W
K

W
W

W

W

W






W

- -

J

K

W

WKKKK

KKK
K
K

W
W
E
E
E

WE
K

K

W



- -

J

W


L
L

K

KEF

WE

- -

J

K

K


{
WEF






W
WW

Z


D

D
D
D

- -

J

WW
W

C

C
C
C

W



L
L
L
L


WE

K
EF

- -

J

KL
W




L
L

W

K

K


K

W
E
E
E

WE
K

- -

J

Useful Life WE
K
W
J J

KK


K


K

Salvage ValueWE
K
K

K
K

J Z
Z

- -

J

K



Depreciation Methods W

W
Units-of- Output Method K
Straight Line Method K
Declining Balance MethodEF K
Double Declining BalanceL
Sum-Of- the years Digits MethodL

WE

KKKK

{
W

- -

J

J
EF

Z

J


Z

{Z

K
W
CZ
{CZ
Z

W
L

KContra Asset Account


K

W

- -

J

L
L

WE

W





Z


J



Z


W
WLL

- -

J

W
W

{J {

Z


{ Z


W

C Z

C Z


C Z


EF CZ
{Z
W


Z{J { { {C
- -

J

Z{J { { {C
Z{J { { {C
Z{J { { {C



Declining Balance MethodE

W
Double Declining BalanceL
Sum-of-the years digits method L

- -

J

WL


W

C Z

W

-FCECFZ
E

E-F C ECF Z
C Z
Z

- -

J

EF
W
=
(-)
C

C
C
C
C

K
KEJ F
Sum-of-the years Digits Method
L

F

KE
W
W
C Z


CZ



WW
Z
WZ

- -

J

ZHHH o
W o

Z

Z
Z
W

FCZ
E{J {


{CZ

{Z
EF
W
(-)
C

D C {
D C {
D C {
D C {
W

- -

J

K

K

W
WLL




W
WW




Z


Z

EFZ

WW
ZEF

- -

J

W
W
C Z
Z

K

W

K
E-F
K
L
K

W

W





EF
EJ F
- -

J

W



L
L

L
L
W
W

W

W


W
EF
EFW

W
L

K


- -

J

EF
W
WECFEF
EF K
K
EF K
K
K EF K
EF K
K
EF K
K

W
LL
K

W
W

J J

- -

]<gj]<]<j<^]<]

W
W
K

W
W

W

W

W





W

- -

J

K
K
K

Short -Term Liabilities W

K

W






Accounts Payable W

K
K

- -

J

Notes PayableW

K
K

W

K

K

W


??L
L

W


L
L

- -

J

K

Returnable DepositsW

KKKKK
K
W



L CCCC
L CCCC

K

Long -Term LiabilitiesW


KK

- -

J

W
W
K

W
W

W

W

W






W

K
- -

J

K

W
W
W

K
K
W






W


W
K 9
K 9
K 9
K 9
K 9

- -

J

9
K

K

W

K
K


W



L CCCC
L CCCC

W
W
L K

L K

L K
L K
W

- -

J

K
K
K

W
W E


L
L
L
L

- -

J

W E
L


L

L


L


L


L

W E


L L
L

- -

J

W E
L


L


L


L L

- -

J

EF
W
WECFEF
EF K
K
EF K
K
EF K
K
EF K
K
EF K
K

- -

J

W
W
ECFJ
ECFJ
ECFJ
EFJ
ECFJ
W
W
W E


L L
??L
?
L L
L
??
L ??L
L
??
L ??L
L
??

- -

J

W E
L


L L



L


L L


L


L L



W E

W
W

EF

- -

J

W
W
ECFJ
EFJ
ECFJ
ECFJ
EFJ
W


L L
??L
?
L L
L
??
L L
L
??
L L
L
??
L L
L
??

L L

- -

J

L
L
L L
L
??
L
L
L
L
?

W
W
J J J J
W
LLW

W
EF

W


W
EF

- -

J

W


EF W
EF

W
W


W



EF

- -

J

LLW
W
W




W



W
W





W

- -

J

WW
W


L L
??L


W


L ??L
L

WL


L L

L
L
L
L
L
L
L

WL
- -

J

L
L
L
L
L


WL


L L
L

- -

J

W
W
CJ CJ CJ J


W
W


L L
L

WW


L
L
L
L
L

W
W
CJ J J CJ

- -

J

W
WW




W

L

EF

EF

- -

J

EF

EF

WW


L L
L


L
L

- -

J

W
W
W


L
L
L
L

W
CJ CJ J J CJ

W
WL E


L L
L

- -

J

WLL


L L
L

WL


L L
L

W E
W
CCCC
CCCC W
CCCC
W

W
W

W EF

- -

J

W
CJ CJ J J J

W


L L
L
??
L L
L
??
L
L
L
L
??

- -

J

W
CJ J J CJ CJ

W
W K

C L
C L
C L
C L


W K

Z

Z

W
J Z
J Z
Z
CZ
- -

J

CZ
Z

J Z
J Z
Z


W
WE
C
C L
C L


W E
J Z
J Z
Z

- -

J

W
CJ J CJ CJ J

W
E

W


Z


J


Z

Z
W


ZJ
ZJ
ZJ
W


L
L

- -

J

WE
EF
W
(-)
C

D C
D C
D C
W


L
L

- -

J

W
CJ
J
J
J
J

- -

J

W
K

W
K

W
K



FW
W
KE

W
F W
KE

W
Slater, Jeffrey, "College Accounting: a Practical Approach" th ed,
(Prentice Hall, ).
Nikolai & Bazley, " Intermediate Accounting", th ed, (South Western
College Publishing, )

- -

J

Purchases
Purchase Returns and Allowances
Purchase Discount
Trade Discount
Cash Discount
Freight in Expenses
Net Purchases
Sales
Sales Returns and Allowances
Sales Discount
Net Sales
Cost of Good Sold
Petty Cash
Reconciliation of Bank Statement
Trading Securities
Held-
to-Maturity
Available-for-Sale
Account Receivable
Double Debts Allowance
Bad Debts
Promissory Note
Bill of Exchange
Perpetual Inventory
Periodical Inventory

- -

J

Specific Identification EF
Average Cost
First in- First Out (FIFO)
Last in- First Out (LIFO)
Cost or Market Price Whichever is
Lower
Fixed Assets
Useful Life
Salvage Value
Depreciation Methods
Units-of- Output Method
Straight Line Method
Double Declining Balance
Sum-Of- the years Digits Method
Short -Term Liabilities
Long -Term Liabilities
Accounts Payable
Notes Payable
Returnable Deposits
Subsidiaries

- -

J

K K K K K K K K K K K K K K K K K K K K K K W
K> K K K K K K K K K K K K K K W
K K K K K K K K K K K K K K K K K K K K K K K K W
K K K K K K K K K K K K K K K K K K K K W

K K K K K K K K K K K K K K K K K K K K K K K K K K W
K K K K K K K K K K W
K K K K K K K K K K K K K K K K K K K K W
K K K K K K K K K K K K K K K K K K W

K K K K K K K K K K K K K K K K K K K K K K K K K K K K K

K K K K K K K K K K K K K K K K K K K K K K K K K K K

K K K K K K K K K K K K K K K K K K K K K K K K K K

K K K K K K K K K K K K K K K K K K K K K K K K K K K

K K K K K K K K K K K K K K K K K K K K K K K W
K K K K K K K K K K K K K K K K K K K W
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK
KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK


EF

GOTEVOT appreciates the financial support provided by BAE SYSTEMS