Tag Archives: ALICE accounts

In the financial records of a business, the liabilities, income and capital accounts are responsible for the business having assets and expenses to function. ALICE accounts fluctuate consistently throughout an accounting period and it is necessary to know what it means for them to have an increase and decrease in …

Studying principles of accounts can be very easy once you learn which items are Assets, Liabilities, Capital, Income and Expenses. The accounts that fall under these 5 headings are used throughout your POA course. You can even associate the ALICE accounts with action words, you OWN assets, OWE liabilities, EARN …

Income is money that a business acquires that is earned, unearned and contributed. It has a credit balance in the ledger accounts when it increases and a debit balance when it decreases. Earned money is acquired for work done when selling goods and rendering services. Unearned money is acquired through …