Chart of Accounts

Posted by Professor Cram in Accounting Cycle

Chart of Accounts – Introduction

The chart of accounts is a numerical listing of all identified accounts used by a company to record transactions. As part of the accounting cycle, the chart of accounts is used in the journaling process (i.e., performing journal entries) and also serves as the title for each ledger. All the accounts will be filed under one of five categories:

  • Assets
  • Liabilities
  • Owner’s Equity
  • Revenue
  • Expenses

Each account can be assigned a number for identification purposes. Most systems will assign a block of numbers to one of the five categories to be applied to the sub-categories. Some charts leave gaps of numbers between the sub-category listings to allow for the addition of new accounts.

Example Chart of Accounts

Chart of Accounts: Bogus Manufacturing

100-199 Assets

  • 100-109 Cash
    • 101 Cash – Regular Checking
    • 102 Cash – Payroll Checking
    • 103 Cash, Change, or Petty Cash Fund
  • 110-119 Receivables
    • 111 Accounts Receivable
    • 112 Due from Employees
    • 113 Notes Receivable
  • 120-129 Property, Plant, and Equipment
    • 121 Land
    • 122 Buildings
    • 123 Equipment
    • 124 Vehicles

200-299 Liabilities

  • 200-209 Current Liabilities
    • 201 Notes Payable – Credit Line
    • 202 Accounts Payble
    • 203 Wages and Salaries Payable
    • 204 Taxes Payable
  • 210-219 Long-term Liabilities
    • 211 Mortgage Loan Payable
    • 212 Bonds Payable, due 2015
    • 213 Discounts on Bonds Payable

300-399 Owner’s Equity

  • 300-309 Stock
    • 301 Preferred Stock
    • 302 Common Stock
    • 303 Retained Earnigs

400-499 Revenues

  • 400-409 Product Sales
    • 401 Store #1 Sales
    • 402 Store #2 Sales
    • 403 Store #3 Sales
  • 410-419 Other Income
    • 411 Interest Revenue

500-599 Expenses

  • 500-509 Insurance
    • 501 Disability Insurance
    • 502 Property & Casualty
  • 500-509 Interest Expense
    • 501 Finance Charge
    • 502 Loan Interest
    • 503 Mortgage
Share

Comments

10 Responses to “Chart of Accounts”

  1. MAJYAMBERE says:

    suppose you are on the job.you are asked to prepare(to fill) this chart of account.
    show me the chart of account format to used. if possible including figures.

  2. senuke cr senuke cr says:

    Wow, that’s what I was looking for, what a data! present here at this website, thanks admin of this web page.

  3. safe seo software to rank on google says:

    Use the finest seo software package to rank 1st on google.
    Enhance your visibility, your rank and your seo. Never believe that
    me, try this remarkable web optimization computer software for totally
    free and see the energy of high-quality and good inbound links.
    Content url building and prepare you to rank greater and receive flood of targeted trafic which seriously convert.

  4. webpage says:

    Why do not you create far more about this subject?
    Do you might have any other blogs on other sites?

  5. range hood filters says:

    It’s amazing designed for me to have a web page, which is helpful designed for my knowledge.
    thanks admin

  6. Portland rhinoplasty says:

    If implants are employed this adds to the area of wound infections.
    It normally include small revisions or significant reshaping from the nose.

    For the end, examine tip projection, rotation, support, alar and columellar retraction, over-aggressive alar base reduction, reducing lateral crural characteristics including over-resection, cephalically oriented or bossa formation.

  7. PillPack Bonus Code says:

    Hello, i think that i noticed you visited my
    weblog so i got here to return the want?.I’m attempting to find issues to
    enhance my site!I suppose its good enough to use a few of your ideas!!

  8. granit workshop says:

    Creative interior design group is one of the best stone manufacturers which is an Egypt based company use to extract the raw stones from the mines and then finishes the stones with high design and also
    in reasonable price. This is one of the great remodeling
    projects that you can carry out. Outdoors: Adding a spa, automatic sprinklers, a
    misting system on the patio, or outdoor lighting for security or beauty will all require more electricity.

  9. stroller reviews 2014 says:

    I visited multiple sites except the audio quality for audio songs present
    at this site is actually marvelous.

  10. http://www.beamzstudio.com says:

    Howdy just wanted to give you a quick heads up and let
    you know a feww of the images aren’t loading correctly.
    I’m not sure why but I think its a linking issue.
    I’ve tried it in two different internet browsers and
    both show the same outcome.

Leave a Reply