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

ISBN-10: 1133607608

ISBN-13: 9781133607601

New to this version, the authors created cutting edge, designated content material delivering actions which are best-suited for every aspect within the studying strategy. New content material just like the author-written Activation workouts, is helping scholars come to category extra ready, and allows them to extra simply attach the dots, increase their intensity of information and feature larger instruments for remediation and assessment. the top target of Warren/Reeve/Duchac’s textual content and expertise studying process is to turn on studying and create extra empowered and ready students--ready to tackle the remainder of their academic and occupation targets. on hand with InfoTrac® pupil Collections

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Sample text

Total expenses . . . . . . . . . . . Net income . . . . . . . . . . . . . . . $263,200 $131,700 63,000 12,950 207,650 $ 55,550 Practice Exercises: PE 1-4A, PE 1-4B Statement of Owner’s Equity The statement of owner’s equity reports the changes in the owner’s equity for a period of time. It is prepared after the income statement because the net income or net loss for the period must be reported in this statement. Similarly, it is prepared before the balance sheet, since the amount of owner’s equity at the end of the period must be reported on the balance sheet.

The data presented in the balance sheet are for a specific date. Income Statement The income statement reports the revenues and expenses for a period of time, based on the matching concept. This concept is applied by matching the expenses ­incurred during a period with the revenue that those expenses generated. The excess of the revenue over the expenses is called net income, net profit, or earnings. If the ­expenses exceed the revenue, the excess is a net loss. The revenue and expenses for NetSolutions were shown in the equation as separate increases and decreases.

Additional investment by owner during year . . . . . . . . . . .

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Accounting by Carl S. Warren, James M. Reeve, Jonathan Duchac

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