Question

Hello I need help with this discussion and need to follow the instructions bellow

I have the grading way bellow too

please help me I will really appreciate it

this is Principals of accountings

In this chapter we were provided a chart of accounts with sixteen accounts in exhibit 2 in the text. From that chart of accounts select an account (try to pick one that has not been discussed yet), in the subject box put the account title you selected, then do the following 1. Assets, Liabilities, Owner's Equity, Revenues, and Expenses are the five categories (account types) that an account can be classified as. Which category is the account you selected included in? 2. The double-entry accounting system has specific rules for recording debits and credits based on the type of account. Describe how these rules apply to the account you selected. How is the account increased and how is it decreased? 3. The normal balance of an account can be either a debit or a credit depending on whether increases in the account are recorded as debits or credits. What is the normal balance of the account you selected? 4. Think of a transaction that your account would be used in. Do not copy an entry from the book. Describe and illustrate journalizing the transaction, in the proper journal entry format. Post your initial response, read all of the posts, and post two detailed replies to at least two other student's posts. Follow the minimum requirements for discussion board posts located in the general discussion area. Recall, those are the minimum requirements, more posts are always encouraged.

Now those are examples from classmates:

I need to create my own my own post please heelp me

Answer 1

Trade payables means net amount to be payable to creditor (to whom we purchase the goods on credit) This account classified as liabilities. Liabilities are future obligation of business entity. Hence, we have to pay back amount to trade payables eithier in cash or bank form that's why it will be part of our liabilities. The double entry accounting system has specific rules for recording debit and credit based on type of account. The double entry accounting rule that debit the receiver and credit the giver can apply to this account. As it is real account. Normal balances uses rules that describe whether the account is either recorded as debit or credit, and measured by how they increase. For Trade payables, the normal balance for the account is normal credit balance as credit increases for liabilities, which has trade payables under it. This account would be used and recorded in journal entry as a transaction as follows in this case, our liability gets increase as we have to pay to that supplier and our asset i.e. goods get increase Purchase For example we purchase some goods amount to $ 10000 to a supplier on credit Dr 10000 10000 If we pay back amount of $5000 to a supplier then our cash get reduced and liability also. Hence trade payables get debited as he is receiver Trade PayablesDr Cash 5000 Cr 5000

Trade receivables means net amount to be recevied from customer (to whom we sold the goods on credit). This account classified as assets. Assets are owned and controlled by business entity and which give certain future economic benefits. Hence, we can realise amount from debtor eithier in cash or bank form which will be part of our assets. The double entry accounting system has specific rules for recording debit and credit based on type of account. The double entry accounting rule that debit the receiver and credit the giver can apply to this account. As it is real account. Normal balances uses rules that describe whether the account is either recorded as debit or credit, and measured by how they increase. For Trade recevables, the normal balance for the account is normal debit balance as debit increases for assets, which has trade receivables under it. This account would be used and recorded in journal entry as a transaction as follows For example:-we sold some goods amount to $10000 to a customer on credit. In this case, our asset account got increase with account of trade receivables and we can book revenue of 10000 also. Trade receivables Dr 10000 Sale of goods Cr if we received amount of $5000 from same customer. Then here he is the giver. As he is giving cash to us. Then this account gets credit. Cash Dr. Trade receivables Cr 5000

Since chart of account not provided. We have taken general accounts.

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