Chart of Accounts  Assets Assets are economic sources that are owned by a business and are expected to benefit future operations.

Chart of Accounts Assets  Current Assets All those assets which change their value within a year are called current assets.

Chart of Accounts Assets Current Assets  Cash on hand  Cash at Bank  Accounts Receivable  Notes Receivable  Bills Receivable  Merchandise  Inventory  Prepaid Expenses Contra Current Asset Account Allowances for Bad Debts

Chart of Accounts Assets NNon-Current Assets/ Fixed Assets All those assets which do not change their value within a year are called non current Assets.

Chart of Accounts Assets Non-Current Assets Tangible Assets Tangible Assets The physical Assets LLand BBuilding FFurniture & Fixture EEquipment MMachinery Contra Tangible Asset Allowances For Depreciation The Systematic allocation of the cost of a depreciable asset to expense over the asset useful life.

Chart of Accounts Assets Non-Current Assets  Non-Tangible Assets  Goodwill  Patents  Copyright Contra Non-Tangible Assets Allowances for Amortization

Chart of Accounts  Equities Equity represents the owner’s claims to the assets of the business.  Capital  Retained Earning  Reserves

Chart of Accounts  Liabilities Liabilities are debt of an organization. Current Liabilities All those liabilities which change their value within a year.  Accounts Payable  Notes Payable  Bills Payable  Unearned

Chart of Accounts Liabilities  Non-Current Liabilities All those liabilities which do not change their value within a year.  Bonds Payable  Mortgage

Chart of Accounts  Income The earning of the business considered the income of that business for the given time.  Sales  Commission  Fees  Rent Income  All other Income

Chart of Accounts  Expenses The costs of the goods and services used up in the process of obtaining revenue.  Purchases  Transportation Expense  Salaries Expense  Rent Expense  Depreciation Expense  Bad Debt Expense  All other Expenses