statement of owner equity reports how equity changes over the reporting period from net income (or loss) and from any owner investments or withdrawals over time period

+revenues
-expenses

asset accounts

cash
land
buildings
equipment
supplies
accounts receivable
notes receivable
prepaid accounts
anything that generates revenue

liability accounts

accounts payable
notes payable
accrued liabilities
unearned revenues

equity accounts

+owners capital
-owners withdrawal
+revenues
-expenses

keywords in accounts

prepaid = assets
receivable = assets
payable = liability
unearned = liability

trial balance

LISTS ALL ACCOUNTS
total debits = total credits

income statement

reports revenues less expenses along with resulting net income or loss over time
-list revenues first
-then list expenses

statement of owner equity

reports how equity changes over the reporting period from net income (or loss) and from any owner investments or withdrawals over time period

Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"