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Table Talks - Your Best Learning Investment

posted 2 Feb 2016, 23:51 by Gordon Kay   [ updated 3 Feb 2016, 00:30 ]

Table Talks are little gems of business knowledge gained in just 90 minutes. 

To explain the concept better, let me share with you what we covered today. 

Todays session - "Accounting Basics"

To start with, two business people booked in.  A small number, just the way we like it.  (Collaborative yet personal)

Todays talk was held by Gordon Kay.  The centre's manager and a business owner of 40 years. 

We started the Table Talk with questions about accounting systems, particularly around online systems.  All three of us had something to contribute on the topic.

Then we looked at the history of today's accounting systems, how and why it came about. (Double Entry Accounting)

Now down to the nuts and bolts of accounting.
  • What is double entry accounting and how does it work.
  • The difference between a "Profit and Loss" report and a "Balance Sheet".
  • How money moves between these two reports.
  • Every transaction has a Credit and Debit and must balance.
  • Depreciation concepts and much more.
See below for todays whiteboard notes.

At $25 including a real coffee, it's the best learning investment you will make for the year.
The following chart is very useful when you want to increase or decrease an account.  You may want to print this page and cut out the chart ready for your next bookkeeping session.

 Account Type / Action Increasing Decreasing
 Asset Debit Credit
 Liability Credit Debit
 Income Credit Debit
 Expense (Cost Of Sale) Debit Credit
 Equity Credit Debit

Gordon Kay,
2 Feb 2016, 23:51