Introduction

Computer technology is growing continually smaller. The first real computer took up 1,800 square feet of space and weighed 30 tons. Yes, technology is now beyond small. A new unit of measure is a nanometer – it is one billionth of a meter long. Do you know how small that is? If you took a strand of your hair and divided by 70,000 – that's a nanometer!

Not only are computers now smaller, they have also changed the way people work. Accountants have certainly seen major changes – from bulky handwritten journals to electronic spreadsheets.

Accoutning Cycle, Step 6 - Prepare Financial Statements

 

Lesson Objectives

Following successful completion of this lesson, students will be able to...

  • Analyze the accounting equation for the purpose of relating it to the accounting cycle.

Essential Questions

  • What is a Statement of Owner’s Equity?

Enduring Understandings

  • In accounting statements are used to keep track on owner’s capital and withdrawals.

The above objectives correspond with the Alabama Course of Study: Accounting standards: 5.