LRN0177 - Understanding Debits and Credits
Course Description
In this course, you will learn about the accounting equation and the five categories involved in every business (Assets, Liabilities, Owner’s Equity, Revenue and Expenses). Every financial transaction falls into one or more of these categories. Learn how to create a chart of accounts that meet the needs of your business. You will learn how double entry bookkeeping works and the process of recording debits and credits. This course will show you how to identify, analyze and record transactions using journal entries under the cash basis accounting method.
Note: This course is part of a Digital Badge for those who wish to earn a credential. You may register for this individual class, but if If you would like to earn the Digital Badge, register for LRN0176- Online Self-Paced Bookkeeping Digital Badge.
Course Outline
Unit 1
The Accounting Equation and Categories
The Accounting Equation
The Five Accounting Categories
The Chart of Accounts
Account Placement
Activity ~ Categorizing Accounts
Cash Basis Accounting vs. Accrual Basis Accounting
Unit 2
Debits and Credits
T-Accounts
Debits and Credits
Double Entry Bookkeeping
Analyze Financial Activities (Transactions)
Unit 3
Assets, Liabilities, and Owner’s Equity
Recording Transactions for Assets
Recording Transactions for Liabilities
Recording Transactions for Owner’s Equity
Unit 4
Revenue and Expenses
Recording Transactions for Revenue
Recording Transactions for Expenses
Activity ~ Recording Transactions
Learner Outcomes
Sharon deFonteny has a degree in Business Education with a concentration in Accounting and spent many years in Corporate America working in Accounting and Finance. For the past 5 years, she has created and taught online Business courses for Bucks County Community College. Her experience in business, as well as experience in teaching, has allowed her to help people understand the Accounting and Finance process.
Applies Towards the Following Digital Badges
- Bookkeeping Digital Badge : Bookkeeping Digital Badge