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Section 2Extending Amounts Across the Work Sheet
Section 2Extending Amounts Across the Work SheetWhat You’ll Learn
How to extend amounts to the Balance Sheet and Income Statement sections.
The importance of the matching principle.
How to calculate and show the net income or net loss on the work sheet.
What You’ll Learn
How to extend amounts to the Balance Sheet and Income Statement sections.
The importance of the matching principle.
How to calculate and show the net income or net loss on the work sheet.
Why It’s Important
Preparing the work sheet helps you
understand the relationship of all
ledger accounts and where they are
reported.
Why It’s Important
Preparing the work sheet helps you
understand the relationship of all
ledger accounts and where they are
reported.
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Key Terms
matching principle
net income
net loss
Key Terms
matching principle
net income
net loss
The Balance Sheet SectionThe Balance Sheet Section
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Section 2 Extending Amounts Across the Work Sheet (con’t.)
The Income Statement SectionThe Income Statement Section
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Totaling the Income Statement and Balance Sheet SectionsTotaling the Income Statement and Balance Sheet Sections
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Showing Net Income on the Work SheetShowing Net Income on the Work Sheet
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Completing the Work SheetCompleting the Work Sheet
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Check Your UnderstandingCheck Your Understanding
What is the effect of net
income on the capital account?
What is the effect of net
income on the capital account?
Section 2 Extending Amounts Across the Work Sheet (con’t.)
Section 2 Extending Amounts Across the Work Sheet (con’t.)
