Advanced Bookkeeping Techniques

Course details

Managing a company’s financial records entails a lot more than keeping track of money coming in and going out. Put one revenue stream in the wrong column, and you could grossly misrepresent your company’s financial health. In this course, accounting professors Jim Stice and Kay Stice dive deep into the accounting strategies behind more complex, higher-level bookkeeping practices. They cover topics such as adjusting entries, strategies for dealing with bookkeeping mistakes, closing entries, and making auditing of books easier.

Concepts

0. Introduction

01 - Advancing your bookkeeping skills

1. Review of Debits and Credits

02 - Two things to remember for debits and credits
03 - Journal entries - Receiving financing from owners and lenders
04 - Journal entries - Buying assets and repaying loans
05 - Journal entries - Recording revenues and expenses

2. Adjusting Entries - Prepaid Expenses and Unearned Revenue

06 - Accrual accounting - Net income vs. cash flow
07 - Fix the balance sheet, then fix the income statement
08 - Recording the paying for and then use of prepaid expenses
09 - Recording the receipt of and earning of unearned revenue

3. Adjusting Entries - Unrecorded Liabilities, Unrecorded Assets, and End-of-Period Estimates

10 - The matching principle
11 - Recording expenses with liabilities that slowly build up
12 - Recording revenue with assets that slowly build up
13 - End-of-period estimates such as depreciation and bad debts

4. Closing Entries

14 - What are retained earnings
15 - The difference between a real and a nominal account
16 - Updating retained earnings and resetting nominal accounts
17 - Practice with the debits and credits of closing entries

5. Posting, Trial Balance, and Financial Statements

18 - The important raw data in the trial balance
19 - Posting the journal entries to the ledger accounts
20 - Creating a trial balance
21 - Using a trial balance to prepare a balance sheet

6. Correction of Errors

22 - Accounting restatements - The case of Groupon
23 - Error correction - Recording something in the wrong account
24 - Error correction - Increasing or decreasing the amount
25 - Error correction - Fixing an error made last year

Conclusion

26 - The role of external auditors in the accounting cycle

Advanced Bookkeeping Techniques

Authors

Jim Stice

Kay Stice