D1 The term "adjusting entries" refers to a very important step in the accounting cycle. Explain when, why, and how the adjusting process is used. Provide an example to clarify your statements. Adjusting entries are crucial in the accounting process because it tracks expenses and revenue as they are incurred. This process is done to properly measure net income loss and assets" Nobles, Mattison, & Matsumura (2014). For Example, A bar owner purchases inventory on 7/21. On the 15h the owner hosts a special event that incurs a supply expense of $1000. At the end of the month the owner must adjust the ledger and trial balance to show for the inventory used throughout the month so that he can reorder and restock appropriately. Nobles, T., Mattison, B., & Matsumura, E. M. (2014). Horngren's accounting the financial chapters (10th ed.). Boston: Pearson. D2 The videos are still the leading contender for learning in this course, the book does have helpful notes that are printed on the pages like writing. It's interesting to see each of these processes continuously building on each other. Accounting with a reversing entry would be very beneficial in time management. One thing I found helpful was the note about adjusting and accruals entries on page 151 in the textbook that said "Adjusting entries never involve cash accounts and they either increase a revenue account or increase an expense account" (2014). Nobles, T., Mattison, B., & Matsumura, E. M. (2014). Horngren's accounting the financial chapters (10th ed.). Boston: Pearson.