version 1.2, 2020/09/27 15:38:25 |
version 1.3, 2020/10/04 13:00:24 |
Line 112 for statistical accounts |
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Line 112 for statistical accounts |
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It is recommended but not required that all account numbers |
It is recommended but not required that all account numbers |
in a given bookkeeping file have the same length. |
in a given bookkeeping file have the same length. |
.Ss Account types |
.Ss Account types |
To correctly assign account types, it is crucial to remeber the |
To correctly assign account types, it is crucial to remember the |
following distinctions. |
following distinctions. |
.Pp |
.Pp |
Balances on asset, liability, and equity accounts |
Balances on asset, liability, and equity accounts |
Line 142 revenues and expenses do not represent values at rest |
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Line 142 revenues and expenses do not represent values at rest |
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but changes of values, or more specifically, changes of equity, |
but changes of values, or more specifically, changes of equity, |
or even more specifically, changes of retained earnings. |
or even more specifically, changes of retained earnings. |
Revenues represent increases of equity; |
Revenues represent increases of equity; |
expenses reqresent decreases of equity. |
expenses represent decreases of equity. |
.Pp |
.Pp |
For example, buying an apple and eatiing it is an expense, |
For example, buying an apple and eatiing it is an expense, |
reducing equity. |
reducing equity. |