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Unformatted text preview: lity)
Cash (reducing asset)
Different Types of Statements:
Balance Sheet (Statement of Financial Position):
Assets = Liability + Owner’s Equity (Owner’s Contribution)
Revenue – Expenses = Net Income
Statement of Retained Earnings:
Beginning Balance of Retained Earnings (Credit +) from last year’s B/S
+ Net Income (Credit +)
Subtotal [max amount of dividends possible] (Credit +)
<Dividends Declared> (Contra – Equity Debit +) <Debit +>
Ending Balance of Retained Earnings (Cred...
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- Fall '12