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FINAL ACCOUNTING of Form

FINAL ACCOUNTING of Form

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welcome to accounting with madame mumbi so today we are going to briefly discuss end of the year adjustments these are a digestments that are made at the end of the year for items that are going to include the following so end of the adjustments are made for items like number one depreciation number two you can have accrued expenses you can have accrued Revenue prepaid expenses and earned revenue and provision for bad and doubtful death so to begin with we are going to start with the depreciation depreciation is simply the loss in value of an uncurrent asset now if you remember from a video on accounting cycle we said that non-current assets are assets that can be used by the organization for a long period of time that is they have future economic benefits the organization can utilize them for a long period of time now these assets depreciate or they lose value every year so at the end of the year we have to make an adjustment for depreciation the amount of value that is lost in that a

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