T-account

T-account

A simplified representation of the actual accounts used for record-keeping. Called T-account because it looks like the letter T with debits under the left arm and credits under the right arm.
References in periodicals archive ?
The instructor updates the Raw Materials T-account on the board by adding $4,000 for the purchase from outside suppliers.
In addition, the instructor updates the T-accounts on the board, moving $200 out of the RM Inventory account and into the WIP T-account.
The WIP T-account should have an ending balance of $3,400, reflecting all charges to the china cabinet; the FG inventory should have an ending balance of $1,100, reflecting all charges to the bookshelves; the CGS T-account should have a balance of $400, reflecting the total cost of the table.
After Figure 5 is completed, we show how the information in the WIP T-account, the FG T-account, and the RM T-account relates to the Schedule of Cost of Goods Manufactured (CGM), the Cost of Goods Sold (CGS) Schedule, and the Income Statement, as follows:
Next, it describes the NIPA sectors for which economic activity is measured and uses a simple T-account to illustrate economic flows.
The purpose of its design is to present cost accounting from a computer-based perspective to students--as opposed to the traditional T-account, manual approach.
Let us compare the traditional T-account approach to the proposed alternative schematic approach.
When the values are copied from the T-account and then positioned onto the X, they are done with animation.
As the user advances through each account--sequenced as raw material, work-in-process, finished goods, accounts payable, and wages payable--the raw data "given" values are displayed in the T-account format and then in the Xconfigured cluster format, as shown in Figure 4.
The derivation of each of these economic accounts is described in two steps: (1) The rearrangement of the business accounting statements into the T-account form and (2) the modification of the T-accounts to obtain economic accounts.
Each T-account contains the firm's sources of funds on the right side and uses of funds on the left side.
The first panel of table 4 shows the items from the income statement in table 2 rearranged in T-account form.