[PDF] Principles of Accounting I Formatting Rules

Every financial statement should be labeled with a three-line heading which includes: The name of the company The name of the statement being prepared

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2289_2FormattingRulesforFinStatemnts.pdf

Principles of Accounting I

Formatting Rules

Financial Statements - Chapter 1

Every financial statement should be labeled with a three-line heading which includes:

The name of the company

The name of the statement being prepared

The period of time or date for which the statement is being prepared Sections such as Revenue, Assets, etc. should be labeled. All descriptions and headings, including dates, should be completely written out. Do not abbreviate dates-instead of Dec write out December. All amounts, including totals, should have a description. Amounts at the top of each column should have dollar signs. When amounts are added or subtracted, single underscores should be drawn. Totals should be double-underscored and have dollar signs. Do not include commas or decimal points for amounts when using accounting paper. It is acceptable to use these when preparing a financial statement in a spreadsheet. Exercise - Correct the formatting on this financial statement. How many errors did you find?

Grover"s of Sesame Street

Income Statement

For Month Ended Jan 31

Revenue:

Commissions Earned 51,000 Salary Expense $ 6,000 Rent Expense 4,000 Utilities Expense 1,600 Advertising Expense 5,400 17,000 34,000

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