Accounting for Beginners #3 / Journal Entries / Beginner Tips / Basics / Accounting Tutorial

Accounting for Beginners #3 / Journal Entries / Beginner Tips / Basics / Accounting Tutorial

what’s good YouTube?? CPA Strength here Jonathan Dorn CPA licensed CPA in the
state of Florida Leeegggoooo !!! Basic Accounting Tips tres, a little español, anyways let’s just get
into it this is tres, so watch one and two if you’re wondering about this stuff
cause this isn’t going to make too much sense if you haven’t watched one and two, ok let go ok so what’s the first thing you’re
going to do, every time if you can’t remember anything else on test anything
anything anything you’re going to have to remember DC/ADE/LER ok and that’ll get you through
that I get your CPA I don’t know nothin else and i
got CPA license, I know a couple more things but lets go ok so DC/ADE/LER all right we’re going to do some
journal entries today ok so this is what you’re going to write
and look, this is a + see this is the plus 2 so you are all positive these
are on positive sides the Debits and Credits ok so what’s the first thing
you’re going to do first thing is a ten-thousand-dollar loan from the bank ok so you’re going to have to have at
least at least the Debit at least the Credit and they’re going to have to
equal we’re gonna have to match. so I like to
work most journal entries have cash in them, so I like to I like to work
with the cash first if you know what the cash is doing then you’re about
halfway there are a lot of times no this’ll if you know what the cash is
doing you might you just you know get a 75
grading on a paper or something, so anyways ten thousand dollar loan from bank ok, ten thousand dollar loan. so you have
positive cash, positive cash which is an Asset so here you have your
ten-thousand-dollar ten thousand dollars that are getting in cash right here so that’s the Debit right? that’s the Debit!! so here Here Write Here Write Cash Ten Thousand, Debits to the left hand
side ok, so now you’ve got ten thousand dollars or did you get where’d you get that from? A loan. you owe the bank that’s a payable, that’s
going to be a liability but t’s either going to be a liability or
equity you really don’t touch this too much unless it’s like the end of the year
retained earnings so you know, if you don’t know anything you’ve already got your cash, you know
the other side, you know the Debits 10,000 / you know the Credits has to be
10,000 so is it Revenue ?
did you work to make the ten thousand dollars? No, you got a loan it’s a payable is a Liability of yours
you’re liable for that ten thousand dollars so here we go, ten thousand dollars here,
do these equal? yes they do!!! So, you’re going to have a
loan Liability, going to put loan that’s going to your Credit. LOAN ten thousand dollars well there’s your
first journal entry do you like it, do you love it, do you
want some more of it, Timmy MgGraw don’t mention Memphis and anyways second one ok let’s erase
this here let’s erase this now see now this one might throw you off
that’s it but these are the positive sides these
are positive that positive Debits positive credits so let’s go to the
second one ok, buy a truck for five thousand dollars you’re buying a truck for five thousand
dollars. Are you getting more money? or Are you getting less money?? buying a
truck here. here’s my here you take money, I get
truck so, your money is leaving, your money is
leaving. So, Asset cash is an Asset, but it’s leaving so that’s going to be your Credit is
going to be cash, cash is going to be your Credit of 5,000. So that’s going to
be our Credit here so you know that, so let’s just write
down our journal entry here. we’re going to write Cash 5000 because it’s leaving !!!! and so here, so you take money I get truck give me truck give me a freakin truck so i have the
truck so where’s the truck, trucks an Asset positive your gain getting more so
positive Asset so there we go there we go a five-thousand-dollar truck is it equal? yeah, so it’s Debit we’re going to Debit
five-thousand-dollar truck truck five thousand dollars we got one we got two. BOOM !!! easy peasy lemon squeezy right come on
let’s go Man this is fun, this is fun I love this shit, alright number three
the third transaction third journal entry you pay rent five hundred
dollars ok here here’s five hundred dollars i
get my rent I get to stay here ok so that’s an
Expense it’s something that I’m paying out in
the hopes of making money for my business so it’s an Expense all right first of all let’s go ADE LER let’s go with the money let’s go with
the money let’s keep it simple i’m giving you five hundred dollars so ok now i have less cash I have less money so that means the
Asset we have less cash cash is an Asset we have a negative amount so that’s
going to be a Credit so yeah we’re going to have cash for
five hundred dollars so let’s let’s just write our Credit right now cash – five hundred dollars ok so now we need to match up when you
match up at five hundred dollars ugh hmm as a Debit so what are we going to do how we’re
going to do that how we’re going to how we’re going to put that, is rent
an Asset? NO. Is rent a Draw? A Distribution? no rent is an Expense it has to be one
of these so you’ve narrowed it down a little bit
you know rent is an Expense so here $500 $500 for rent so let’s bring the Debit over
here rent $500 DC/ADE/LER all right number 4, you get paid for a
service, you get paid three hundred dollars for some work you did oh my god i’m actually getting money in
holy holy jeepers right yet you’re getting money in so what is that what is cash coming in
positive cash positive asset left hand side ADE here we are three hundred dollars coming
in for service you did so $300 with service coming in the asset you got
cash coming in positive amount so that’s the Debit three hundred dollars and how
did you make it? is a Liability? do you owe somebody? is it retained earnings? or in
Equity NO it’s a Revenue you worked for it Revenue
service income so we’re going to do up $300 cash because we got cash coming in so
that’s a debit 300, get my fat head out of the way 300 oh we’re going to put income went with
service in come on the what how do we get that for service of
service income gonna be around new service income Service income, 300, these all matchup,
DEBITS=CREDITS / DEBITS=CREDITS DEBITS=CREDITS ADE/LER ok positive side last one guy goes to the ATM
takes out a $100 spends it takes takes a date out spend $100 for
personal so now so you got to think this get kind
of tricky but you got to think as we’re doing this as a business ok so you you take a hundred dollars out
of the business so you have negative cash so that’s going to be a Credit so you
have negative cash because you have cash coming out of the Account so we’re going to
have a cash of a hundred dollars of cash is $100, cash is a Credit and
now what is the start what is the Debit on this? is it Expense? NO. because it’s not in the hopes of
making making money for the business of not an Expense you took something personal is that an
asset? spending $100 that’s not an Asset now it’s a Distribution or Draw because
you personally took it out so we’re going to say we’re going to put
Draw one hundred dollars anyways this one is. CHRIST!!!!13 minutes and
i’m going to have freaking watch this if you made it this long, and like if you
got any questions for you can put him down there asking a freaking question
i’m no teacher I know one thing though DC/ADE/LER all right, the strongest CPA in Florida BOOM!!!!!!!!!!!!!

100 thoughts on “Accounting for Beginners #3 / Journal Entries / Beginner Tips / Basics / Accounting Tutorial

  1. I switched from psychology to accounting and I had my first class yesterday. However, i was doubting if i made the right choice coz i wasn't able to understand a single thing from my prof. Trying to catch up, i stumbled through your channel and I already knew it's you who's gonna save my college life. Thank you so much for sharing your knowledge for free! Yours is the best channel. More power, more CPA strength!! 💪🏻

  2. I left my accounting class tonight confused af. I have been struggling..feeling frustrated and defeated. My teacher goes way too fast when instructing and doesn’t explain things as thoroughly as you do. You really break it down and are a great teacher, you should look into being an instructor. You have given me the confidence to get through this class. I’ll be binge watching tf out of your vids at work. You da man!!! 🙌🏼

  3. Just starting my accounting courses for my certificate. I appreciate your work so much. You make it so understandable.

  4. Hey so for the last situation of drawing $100, does that mean that it shows up as a liability or equity on the credit side? Got a feeling that it's a liability, but just need clarification.

  5. Thank you! Thank you! BEST ACCOUNTING VIDEOS out there! I finally get it!!!!!! I was struggling in my Accounting class – YOU SAVED ME!! Thanks Again! – Peace out 🙂

  6. Mr. CPA Strength, watching your video basically covered my two weeks Accounting 1 when I was in college way back 2010. Whew. I don't feel sleepy in this virtual class. hehe.

  7. I have problem to make journal entry. Pls help.
    A cust paid 4,000 in advance for sevice. During the month, jasper company performer $2,500 of service for the client. The unadjst balance in unearned client revenue acc is $4,000 and the unadjst balance in the client Revenue earned is $30,000.
    How is the journal entry? Thanks

  8. I saw your first 3 videos. I understood, much better about accounting basics. Actually I have my own musical enterprise. Thank you very much. Bless from Costa Rica.

  9. I've watched this guy ramble for 16 minutes now and haven't learned a fucking thing other than the fact he's a proud left handed man from Florida

  10. im already loving your channel. youre the man for this. thanks for sharing this information. i hate accounting with a passion but im pursuing an MBA. i feel your videos will help me. god bless.

  11. I know I'm 4 years late to discover this Video but Thank God you save me man! I didn't really get it cause my prof teach sooooo fast! haha and you made me understand accounting! thank youuuuu🙌 Wish me luck on my exam this monday!🙏

  12. I’m on the #3 video, && I’m Loving’ IT!! You’re Amazing! Appreciate the info. & Love your Channel! 🥰 I just subscribed, and I will watch all your videos, TODAY! Just found you on here. Thank you for your time! ❤️🎂🧁

  13. Hi Jonathan – @10.15, it is "Paid for service $300". Should this not be "Received for Service $300" OR "Got Paid for service $300" ? — If it is "Paid for Service", then it should be an expense entry in "ADE" and not an "Asset" entry in "ADE" ?

  14. Not a big commenter on any videos but I had to here. I just started my MBA and have my first accounting class. Felt lost. Then I found your videos. THANK GOD. Kinda wish I found them a week before this first test I bombed but hey, better late than never. THANK YOU!!!!!!!!!!!!!!

  15. I am so glad I found this video! I am struggling in accounting but your video helps me to have a better understanding compare in my class. Thank you so much

  16. I found your videos while I was struggling to do my financial accounting homework. I look forward to watching all 100+ videos on my accounting class journey. SUBSCRIBED

  17. I cannot even begin to tell you how much you SAVED me!!! You are so funny, make this so easy to understand and I cannot thank you enough for making these videos. This is such a difficult topic to learn and I am so thankful for you!!!!!!!!!!!!

  18. 6:59 … this is fun, i love this shit
    No you don’t sir, and we all don’t but we are forced to do. This is torture 😩

  19. First off…. You are saving my grade one video at a time and I find your commentary and enthusiasm to be motivating and hilarious! I tried searching the comments for the answer to my question and couldn't find anyone else asking it. So none of the examples in this video are negative values (-$xxx)? Instead of being a negative value you simply just put it on the other side (either debit or credit)? Not really expecting an answer, but if anyone does, thanks!

  20. I am just starting accounting, I'm 32!!!!!!! ah! I am starting classes in January but do have a mentor who works for my company now as our CPA who has been "teaching" me. I am having a hard time with the debits and credits, seems like I get them and then they are on the opposite end. After watching literally 3 of ur vids, I feel more clear than I have so far. And I laugh. You are awesome, and so relatable. Thank you for this and I'm looking forward to learning with you!

  21. @CPA Your chest kept distracting me…(not that I mind). Can we be friends ??😍😍
    Anyways thank you so much , your comprehensible way of lecture was very educating and informative.

  22. Thankyou so much, these videos are very informative and straight to the point. Better than my accounting teacher ever did for me

  23. Jonathan: 13 minutes Christ is anybody gonna watch this !?
    Your YouTube video: you have over 600,000 views and it's still going up

  24. I am just starting Principles of Accounting class with no prior knowledge of Accounting. Thank you for keeping it simple so far. DC ADE LER

  25. Every time he looks at the camera he starts talking to himself But when he turns his back on the camera he's a good teacher anyone agrees

  26. I just need to say I have been trying to figure out the debit/ credit thing for weeks and I think you just explained it to me lol. I plan to keep watching. Thank you!

  27. i never offered accounting in high school but im offering accounting with computing in university and watching your first 3 journal makes it look easy to calculate. thanks so much. #no1

  28. transaction 4 "paid for service 300" how can its service income cause it's money u pay not a money you receive. can you make understand that transaction please I'm really confused it😢

  29. I really struggled with learning this today and this was a much simpler way to do it. Thanks for making these videos. Made sure to hit the subscribe button.

  30. I have never done any accounting. Studied Childhood Education, but now helping my husband with his business. These videos are SO HELPFUL! Subscribed!

  31. Love your video! I’ll be using DC ADELER forever now. One simple question why is debits a positive and credits a negative ? Thank you so much

  32. Lol you’re the bro-iest CPA I’ve seen… I actually enjoy watching your videos and am learning at the same time!! Keep it up!

  33. Good day CPA strength.
    Hope this account is still active.
    I've got a question, on episode 2(Accounting for beginners) you said at 7:23(minutes:sec) that your revenue is when you make a sale or do a service.
    Number 4 (paid for service $300) on episode 3 you said, that cash is an Asset? shouldn't it be at the revenue side? Because we delivered a service and got paid for it?
    Please let me know.
    Greetings all the way from South Africa.

  34. At the end you did not say were to credit the $100 cash. Not sure if the comes from the liability or the revenue. Being that the $100 was a draw on the debit side where should the money be credited?

  35. its crazy how people are getting more of an education from a free vid than a $5,000+ class… keep up the good work my dude.

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