ACCT 1010
Lesson 3 - Chapter 3
Adjusting Accounts and Preparing Financial Statements

Learning Objectives

1. Explain the Importance of Periodic Reporting and the Time Period Principle
2. Explain Accrual Basis Accounting
3. Identify the types and purposes of adjusting entries
4. Prepare adjusting entries
5. Prepare Financial Statements from an Adjusted Trial Balance

Learning Activities

• Read Chapter 3 of your accounting text.
• View the PowerPoint lesson entitled Adjusting Entries.
• Complete the Adjusting Entries Practice.
• Complete the following Connect Interactive Presentations.  To see the presentations, click the Expand arrow for Chapter 3 in Connect, then click the link for each presenation and click the Play button.
  • Accrual Basis Accounting
  • Purpose of Adjustments
  • Preparing Adjusting Entries
• Complete the following practice problems and check them against the solutions provided for the B Problems in Course Resources. See your textbook for problem instructions.  These problems are not required work but may be helpful to your progress toward lesson objectives.
  • P3-3B
  • P3-5B

Assessments

• Complete the homework problems assigned in Connect. Click the Expand arrow for Chapter 3 in Connect, then click the Chapter Three Homework link.