 Now we want to think about period end adjustments and the concept, the overview, why we might do period end adjustments or adjusting entries, when we might do them, how we might structure doing them and which accounts might need some adjusting entries. So the adjusting entry process is typically done at the end of the month or the end of the year and it's done to make the financial statements be more closely aligned to the accounting method that is used in use. That's often going to be when you learn it in like accounting courses, the accrual accounting method. But in practice, you might be on a tax method or something like that if you're a small business and you're primarily doing your bookkeeping in order to do the taxes at the end of the year. You might have an tax-based method, you might have it even on a cash-based method and even then you might still have some adjusting entries that need to be done. Now note, adjusting entries, if you learn it in a book scenario in a classroom, you're often going to hear them being applied at the end of a month, for example, each month. But in practice for small businesses, you might do the adjusting entries on a yearly basis so that you get your financial statements lined up as best you can for the use that you might have for them, which is going to be the taxes in the United States. So that's going to be the general idea. So what we would like to do is think of a delineation in our mind between the bookkeeping or accounting process and the adjusting process that's going to be done at the end of the period. They might be done by the same person, but it's useful to keep those two things separate and oftentimes they're done by different departments or different people altogether such as the bookkeeping or yourself or the accounting department versus the CPA for example or tax preparer that's going to be doing adjusting entries possibly at the end of the year. The adjusting entries are the things that we have been doing to construct the financial statements and those are primarily with the forms. We go to the forms, we have the cycles that are in place, we're entering the financial transactions with these forms that are entering the double entry accounting system and constructing building the financial statements. Our goal from the bookkeeping or accounting side of things is to try to make this system as easy as possible and if we can automate the system as much as possible, we can automate the system to make it as easy as possible and also be able to communicate with the people we're doing business with well customers, vendors and employees. That's the general idea so that the business goal in and of itself the overarching goal for the business of revenue generation can then focus on what they do to generate revenue and not so much on the accounting and bookkeeping process and then of course the goal for the end of the period for the adjusting entries is to take what we have and adjust it to be more perfectly aligned to the accounting method that is being used.