Rule of accounting
Assets- when preparing financial accounting statements, fixed assets are reported differently than current assets.
Liabilities- in financial accounting need not to be legally enforceable; but can be based on equitable obligations or constructive obligations.
Owner's equity- as the figure increases, the owner's right to the assets of the business increase.
Revenue- a key performance indicator for most businesses, so the new revenue guidence will likely impact many companies well beyond their financial reporting requirements.
Expenses- accountable expense accounts are subject to a variety of restrictions, there must be a documented business purpose for the account.
Debit
Expenses
Assets
Drawing
Credit
Owner's equity
Icome (revenue)
Liabilities
Liabilities- in financial accounting need not to be legally enforceable; but can be based on equitable obligations or constructive obligations.
Owner's equity- as the figure increases, the owner's right to the assets of the business increase.
Revenue- a key performance indicator for most businesses, so the new revenue guidence will likely impact many companies well beyond their financial reporting requirements.
Expenses- accountable expense accounts are subject to a variety of restrictions, there must be a documented business purpose for the account.
Debit
Expenses
Assets
Drawing
Credit
Owner's equity
Icome (revenue)
Liabilities