Accounting accounts are intended for grouping and current accounting of homogeneous business transactions and the movement of homogeneous funds of the enterprise.
The account is a two-sided table, the left side is called the debit, the right side is the credit. The Ministry of Finance develops and approves the chart of accounts for accounting of the financial and economic activities of the organization and instructions for its use, which describes each account and the typical correspondence of accounts for it. The chart of accounts contains 8 sections:
1. Non-current assets (for example, account 01 fixed assets, account 02 depreciation of fixed assets, account 04 intangible assets of intangible assets)
2. Inventory (for example, account 10 material)
3. Production costs (account 20 main production)
4. Finished products and goods (account 41 goods)
5. Cash (account 50 cash, account 51 settlement accounts)
6. Settlements (account 60 settlements with suppliers and contractors, account 68 settlements with the budget for taxes and fees, account 70 settlements with personnel for remuneration)
7. Capital (account 80 authorized capital)
8. Financial results (account 99 profit and loss)
The accounts listed in the above sections are double numbered and are synthetic accounts. They interact with each other using double entry.
In the chart of accounts, off-balance accounts are separately allocated, which have triple numbering and do not interact with any accounts. Accounting on these accounts is carried out according to a simple entry – income – expense – balance. For example, they take into account property that does not belong to the organization, but is temporarily located on this organization. For example, 001 leased fixed assets.
Based on the standard chart of accounts of accounting, the chief accountant develops a working chart of accounts that is used in this organization.
1. Depending on the relationship to the balance sheet, the accounts are:
· Active – designed to take into account the state of movement and changes in the composition of economic assets.
Active account scheme. Active accounts always have a debit balance. This balance at the end of the month, the beginning of the next one is reflected in the active part of the balance sheet.
|Opening balance (balance) – this is the balance of business assets at the beginning of the month||Retirement, reduction of economic assets are reflected during the month|
|During the month, the following are reflected: receipts, increases in economic assets|
|Debit turnover – the total amount of economic funds received per month||Credit turnover – the total amount of economic assets withdrawn from this account during the month|
|The closing balance is the balance of business assets at the end of the month. Closing balance equals opening balance plus debit turnover minus credit turnover|
Passive account scheme – designed to take into account the state of movement and changes in the sources of economic funds.
|During the month, the disposal of the decrease in sources of economic assets is reflected||The opening balance is the balance of the sources of economic funds at the beginning of the month|
|During the month, the receipt of an increase in sources of economic funds is reflected|
|Debit turnover – the total amount of sources of economic assets withdrawn per month||Credit turnover shows the total amount of received sources of economic funds for the month|
|The ending balance is the balance of the sources of economic funds at the end of the month|
Ending balance passive account = opening balance + credit turnover – debit turnover.
The balance is always in credit.
Active account is account 01 fixed assets, account 10 materials, account 50 cash.
Passive accounts are account 80 authorized capital, account 66 settlements on short-term loans and borrowings
2. Active-passive accounts are associated with settlements with accounts payable and receivable. These accounts can have both a debit and a credit balance at the same time, with the exception of account 99 of profit and loss. This account can have only one balance, if on a debit, then this is a loss, if on a loan, then profit.
Active-passive account scheme
|The opening balance is the balance of receivables at the beginning of the month||The opening balance is the balance of accounts payable at the beginning of the month|
|1. Increase in accounts receivable during the month||1. Increase in accounts payable during the month (P)|
|2. Reduction of accounts payable within a month||3. Decrease in accounts receivable during the month (A)|
|The closing balance is the balance of accounts receivable at the end of the month||The closing balance is the balance of accounts payable at the end of the month|
The debit balance is reflected in the active part of the balance sheet, and the credit balance in the passive part of the balance sheet.
2.Depending on the amount of detailing of the account information, there are:
· Synthetic accounts are designed for an enlarged, generalized grouping and accounting for the composition and movement of the organization’s funds, their sources and business processes in a single monetary measurement (roubles). These accounts are directly related to the balance sheet. All accounting accounts contained in the chart of accounts from 01 to 99 are synthetic.
· Analytical accounts are opened in the development of a certain synthetic account in the context of its types, parts, articles, accounting for them is conducted in physical, labor and monetary terms. That is, detailed information about property, liabilities and business transactions within a specific synthetic account is grouped on analytical accounts.
3.Depending on their purpose, accounts are:
· For the account of economic means and their sources. For example, account 01 “fixed assets”, account 10 “materials”, account 50 “cash”. By source Account “authorized capital”
To account for business processes, account 20 “main production”, account 25 “overhead costs” (indirect costs for the maintenance of the production process) account 26 “general expenses” (maintenance of administrative and management personnel) account 29 “servicing production”
With the help of a double entry, an accounting entry (accounting entry) is carried out. A double entry is a way of reflecting business transactions on the account of economic accounting. The accounting entry is based on the double entry rule, which is as follows:
The same amount of a business transaction is reflected twice in the debit of one account and the credit of another account. For example, materials were received from a supplier in the amount of 100 thousand rubles. Prepare an accounting entry. To create an accounting entry, follow these steps:
1. It is necessary to determine which accounts are involved. Under the terms of the task, account 10 “materials” and account 60 “settlements with suppliers and contractors” are involved.
2. It is necessary to determine which accounts are active or passive. Score 10 is an active account, score 60 is a passive account.
3. It is necessary to apply the rule for reflecting business transactions on active and passive accounts. Account 10 (A) + debit, Account 60 (P) + credit. This is the correspondence of accounts, which shows the interaction of accounts, in this case directly.
4. We draw up an accounting entry (record). Debit of account 10 Credit of account 60 Correspondence of accounts) 100 thousand rubles.
Accounting entry consists of :
1. Account correspondence
2. Business transaction amounts
1. A simple transaction consists of 2 accounts, one for debit and one for credit. Debit of account 50 “Cashier” (A) + credit of account 51 “Settlement accounts” (A) – 200 thousand rubles. The cashier received 200 thousand rubles from the current account, the basis of the cash document is an incoming cash order
2. A complex posting is when, for example, the debit of one account reflects the entire amount of a business transaction in correspondence with several credit accounts. For example, during the day, the cashier received 500 thousand rubles, including 400 thousand rubles from the current account, 50 thousand rubles from the accountable person and 50 thousand rubles from the sale of services.
D 50,500 thousand rubles D 51,400 thousand rubles
K 71 “settlements with accountable persons” 50 thousand rubles (P)+ K 90 50 thousand rubles (P)+
Any complex wiring can be decomposed into several simple D 50 and D 51,400 thousand
D 50 K 71 50 thousand
D 50 K 90 50 thousand
3. False entries are used to disguise illegal acts committed in the organization. These include:
Undocumented transactions, which are fully or partially drawn up in the absence of the necessary primary documents
· Postings drawn up in violation of the correspondence of accounts – these postings are formally confirmed by primary documents, but do not correspond to them in content.
Ways to correct erroneous entries in accounting:
1. Corrective – consists in the fact that an erroneous entry is crossed out with a thin line, a correct entry is made next to it with a written correction clause, the date and signatures of the persons participating in the business transaction are indicated.
2. Red reversal (destruction) – consists in the fact that the incorrect entry is repeated in red ink, the amounts written in red ink during calculations are not summed up, but subtracted. In this regard, the incorrect entry is canceled by the corrected entry. The following types of errors are corrected with the help of the red storno:
· Accounting entry and account entries are made unreasonably, since the business transaction did not take place.
· Accounting entry and account entries are made reasonably and correspond to the amount of the transaction, but this amount is charged to an account that does not correspond to the content of the transaction. Materials were received from the accountable person in the amount of 50 thousand rubles, during the audit it was found that the materials on the invoice were received from the accountable person D 10 “materials” K 60 50 thousand rubles, the entry is repeated in red ink or outlined and the correct entry must be made D 10 K 71 50 thousand rubles
· The accounts in the accounting entries are correct, but the amount of the transaction is too high. 4,000 rubles were received at the cash desk from an accountable person, the posting was made as follows D 50 K 71 4,000 During the audit, it was found that 1000 were received at the cash desk. We repeat D 50 K 71 4,000 and circle it in red ink and now we make the correct entry D 50 K 71 1000 .
The balance sheet is drawn up at the end of the month. This is a way of summarizing, reflecting and economic grouping of economic assets and their sources in monetary terms on a certain date, usually on the first day of the month. The balance sheet is a two-sided table, one side is an asset, the other is a liability. An asset shows the composition and placement of economic assets, and a liability shows the sources of their formation and purpose at the time of the balance sheet.
In accounting, the word balance has a dual meaning: on the one hand, it is the equality of the results of comparable asset and liability indicators, and on the other hand, it is the most important form of financial statements that shows the state of the organization’s economic assets and the sources of their formation on a certain date. The asset consists of two sections:
1. Non-current assets
2. Current assets
Passive consists of three sections:
1. Capital and reserves
2. Long-term liabilities
3. Short-term liabilities
The ratio between the items of the asset and liabilities of the balance allows you to assess the financial condition of the organization. A balance sheet change occurs when a transaction affects both an asset and a liability. According to the balance sheet, you can determine the change in the financial position of the organization compared to the beginning of the reporting period.