1. Accounting and Business1 1

2. Chapter 1 What is Accounting?
Find a partner and see if you can write down a definition of accounting!

3. Chapter 1 Definition
Accounting is a of dealing with financial data that provides information for

4. Chapter 1 The 5 Main Activities
Preparing and collecting permanent records
Rearranging, summarizing and classifying financial information
Establishing controls to promote accuracy and honesty

5. Chapter 1 Accounting in the lower mainland
In groups of two or three:
Go online to find an accounting firm in the lower mainland. How do
their offered services represent the 5 main activities of accounting?
Name and location of the company.
List of services offered.
Who is on the firm’s team? Backgrounds/certifications?
Connections to the 5 main activities accounting.

6. Chapter 1 Types of Businesses 1. Service Businesses Examples:
Movie theatre Hair salon Physiotherapy clinic
Accounting firm Catering company 2.
Motorcycle dealership Clothing store Video game store
Sporting goods store Grocery store 6

7. Chapter 1 Types of Businesses 3. Examples:
Computer manufacturer Car manufacturer
Food-processing company Farm equipment manufacturer
4. Non-Profit Organizations (NPO)
Religious organization Charity
Amateur sports organization NGOs (non-governmental organization) 7

8. Forms of Business Ownership
Chapter 1
Forms of Business Ownership
1. Sole Proprietorship
Examples:
Dr. Joe Dimitry, Dentist Rosa’s Pizza
Alf’s Home Bakery Rustic Pottery—Miriam Daily, owner 2.
McPhearson & Scott, Chartered Accountants
Bucchino & Magalli, Barristers and Solicitors
Hakala and Sons Service Centre
Café Crème—Solange Dion and Alex Boucher, owners 8

9. Forms of Business Ownership
Chapter 1
Forms of Business Ownership
3. Limited Company or Corporation
Examples:
Pool People Ltd.
Uni Electrical and Mechanical Ltd.
Gunn’s Auto Service Ltd.
Building Resources Ltd., Construction Consultants 3.
Examples:
Housing cooperatives
Our Ecovillage on Vancouver Island
Worker-owned cooperatives 9

10. Chapter 1 Worker-Owned Cooperatives:
Assignment 1
Organizational Structures – Pros and Cons:
Assignment 2

11. The Accounting Cycle Four of the steps occur in the outer ring.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

12. The Accounting Cycle 1. Transactions occur.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

13. The Accounting Cycle 2. Transactions are recorded in the journal.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

14. The Accounting Cycle 3. Journal entries are posted to ledger accounts.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

15. The Accounting Cycle 4. Trial balance and interim financial statements are prepared.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

16. The Accounting Cycle These outer ring activities are ongoing and cyclical.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

17. The Accounting Cycle Four of the steps occur in the inner ring.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

18. The Accounting Cycle 5. The worksheet is prepared.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

19. The Accounting Cycle 6. Formal financial statements are prepared.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

20. The Accounting Cycle 7. Ledger accounts are adjusted and closed.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

21. The Accounting Cycle 8. The post-closing trial balance is prepared.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

22. The Accounting Cycle The cycle is complete and it begins to repeat itself.
Chapter 1 – The Accounting Cycle l Accounting 1, 7th Edition

23. Guest Speaker: Craig Murata
Let’s prepare some good questions for Craig!