Accounting

Reflective Essay

        My favorite topic for Accounting is Topic 2.1 which is Profit & Loss Statement and Double-Entry Recording. It is the ledger recordings that precede the construction of the P&L statement. In this topic, I learnt about the structure and purpose of the Profit & Loss Statement. Besides, I also get the idea on recording each transaction into at least 2 accounts in ledger, and if one account is debited, the other must credited. Furthermore, I learnt how to close the revenue and expenses accounts and transfer them to P&L account. This topic is my favorite topic as I find it meaningful and interesting. This is because they are the basic things to learn in accounting in order to proceed to the harder part. For primary learner like me, I find it meaningful because without the knowledge of ledger recording, I would never understand how the accounting process goes and it would be confusing. Secondly, I find it interesting when transfer them into the P&L statement. Although it was hard at first, but I slowly get used to it and I feel satisfied every time I complete the P&L Statement.

        For me, I dislike Topic 3.1 which is Balance Day Adjustment. It is about Prepaid Expenses and Accrued Expenses. This topic makes me confuse, always. Sometimes, I don’t know which sides should I write the amount, either the credit or debit side because I am confuse with the terms ‘prepaid’, ‘accrued’ and ‘incurred’. In order to make the topic better, I will spend more time to memorize the meaning of the terms I don’t understand and do more exercises of this topic.

        I find the topic of Financial Ratios (Lecture No.8) as most useful to my everyday life and future studies. In my everyday life, I can practice effective reading and focus on important information only. In the future, I would have the knowledge in this area and I will be able to read the accounting reports and thereby make relevant decisions. Besides, I will be able to make ratio analysis and interpretation. Before invest money in a business, I will also be able to measure the profitability of a business and a business’ risk of going bankrupt.

        I think that this subject is not as easy as I think especially for the slow learner like me and practice more is the only way to improve the accounting skills.

Assignment

Accounting Assignment by Chung Hui Ping