Brain Bites – Business Accounting Basics, Part 2

Topics covered include: 

• Explaining how the Accounting Equation relates to the balance sheet 
• Defining key terms associated with double-entry bookkeeping 
• Differentiating between normal debit balance and normal credit balance accounts 
• Identifying three main components of the balance sheet 
• Reading a balance sheet 
• Describing the use of Debits and Credits on Balance sheet accounts 
• Differentiating between fixed and intangible assets 
• Reading an income statement 
• Examining how an income statement demonstrates an organization’s success 
• Reading a statement of cash flows 
• Differentiating among three types of cash recorded on the statement of cash flows