1. The Simple Ledger

2. Ledger Accounts More definitions guys! Any time we list the cash we have in the bank, money owed to us, money we owe to people, a mortgage, or anything…we call these accounts.

3. Ledger Accounts A Ledger is the name for a group or file of accounts. Accounts can be prepared several different ways. They can be on paper, in a binder, on cards, or electronic. This is obviously the most popular nowadays

4. Ledger Accounts A T-Account is a simple way of looking at accounts from the balance sheet. It looks like this. Cash

5. Ledger Accounts Let’s look at the board.

6. Important Features of Ledger Accounts Every item on the balance sheet is given its own T-Account. Start calling the entry items “cash account,” “B. Chen account,” etc. If a dollar sign is used, it is put on the first line only. This is the “beginning value.” The value is placed on whatever side of the “T” that you would put the value in the equation.

7. Important Features of the Ledger Account

8. Let’s review some things. What is an account? What is a ledger? How can ledgers be kept? Knowing what you now know…why do we sometimes call a company’s financial records, “the books?”

9. Exercise 1 – Steven’s Woodworking

10. Exercise 2 – Dr. Pauline Inaba

11. Exercise 3 – Lily Wall What is her: -Capital? What is the equation like?

12. Homework (for tomorrow) Exercise #4 on page 92.