Main Topic

Apuntes

Main Topics Covered: 1. Introduction to Accounting • Purpose: To keep track of financial activities. • Users: Owners, investors, government, creditors. 2. Double-Entry System • Every transaction affects two accounts (debit and credit). • Follows the Accounting Equation: \text{Assets} = \text{Liabilities} + \text{Owner’s Equity} 3. Types of Accounts • Assets: What the business owns (cash, equipment). • Liabilities: What the business owes (loans, creditors). • Equity: Owner’s claim after liabilities. • Revenue: Income from sales. • Expenses: Costs like rent, wages. 4. Books of Original Entry • Journals where transactions are first recorded (e.g., Sales Journal, Cash Book).