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Salvador Soto Jr, MSA
Cycle
1. Full Accounting Cycle — Instructor Answers
Students must demonstrate accurate knowledge of:
- Analyzing source documents
- Recording transactions into journals/ledgers
- Reconciling bank & credit card accounts
- Posting adjusting entries
- Preparing the adjusted trial balance
- Generating P&L and Balance Sheet
- Complete end-to-end bookkeeping workflow
Schedules
2. Supporting Schedules — Instructor Key
Students must prepare accurate schedules tied to the GL:
- AR Aging — matches AR control account
- AP Aging — matches AP control account
- Prepaid expense amortization
- Accrual summaries
- Fixed asset & depreciation schedule
- Inventory reconciliation (if applicable)
Adjusting
3. Adjusting Entries — Instructor Samples
Dr Insurance Expense
Cr Prepaid Insurance
Dr Wages Expense
Cr Wages Payable
Dr Depreciation Expense
Cr Accumulated Depreciation
Dr COGS
Cr Inventory
Dr Interest Expense
Cr Interest Payable
Reconciliation
4. Bank & CC Reconciliation — Requirements
- Beginning balance matches prior period
- All cleared items match bank statement
- No duplicate feed entries
- No forced balancing entries
- Ending GL balance matches statement
Trial Balance
5. Adjusted Trial Balance — Instructor Review
- All adjustments posted correctly
- No suspense or uncategorized balances
- Debits = Credits
- Ties to financial statements
Statements
6. Income Statement & Balance Sheet — Evaluation
Students must produce accurate statements:
- Revenue and expense classification correct
- COGS calculated correctly
- Gross profit reasonable
- Net income ties to retained earnings
- Assets, liabilities, equity fully supported
Presentation
7. Final Presentation / Reflection
- Clear explanations of accounting decisions
- Proper documentation and schedules
- Awareness of corrections and learning progress
- Professional communication
Assessment
8. Instructor Assessment Summary
Mastery shown through:
- Full-cycle bookkeeping proficiency
- Accurate reconciliations
- Correct adjusting entries
- Organized schedules & support
- Error-free trial balance
- Accurate financial statements
- Ethical handling of financial data