Term
|
Definition
| Shows the effect of transactions and events on a specific element. For example, cash on assets, or sales on revenue. |
|
|
Term
|
Definition
|
|
Term
|
Definition
| These are the principles, assumptions, and constraints that form the foundation for Financial Accounting and Reporting. |
|
|
Term
|
Definition
| These are the principles, assumptions, and constraints that form the foundation for Financial Accounting and Reporting. |
|
|
Term
|
Definition
| Assets = Liabilities + Equity |
|
|
Term
|
Definition
| The total amount owed to suppliers/vendors for using their goods or services, on account. |
|
|
Term
|
Definition
| The total amount that customers owe the company, from sales on account. |
|
|
Term
|
Definition
| Recording revenues when earned and expenses when incurred (or when non-cash resources are USED). |
|
|
Term
|
Definition
| The accounting process that periodically transfers costs from one place or account, to another. |
|
|
Term
|
Definition
| Allocates capitalized costs of intangible assets to expense, called amortization expense. Similar to depreciation. |
|
|
Term
|
Definition
| Probable future economic benefit….= OWN. |
|
|
Term
|
Definition
| Accounting concepts, (economic entity, going concern, monetary unit, and periodicity) that establish reporting requirements. |
|
|
Term
|
Definition
| The systematic assessment of an entity’s conformity with GAAP. |
|
|
Term
|
Definition
| One of the GAAP required statements that reports Assets, Liabilities, and Equity. |
|
|
Term
|
Definition
| Refers to the underlying theory or value. |
|
|
Term
|
Definition
| A contract that represents a company’s borrowing from creditors. Often called a debt security, or fixed income investment. |
|
|
Term
|
Definition
| The dollar amount within an account |
|
|
Term
|
Definition
| For accounting it is revenues minus expenses = zero; for finance it is sales minus costs = zero. |
|
|
Term
|
Definition
| Is the investigation of various sales and cost scenarios. For example, what happens to breakeven when fixed costs increase 10%, variable cost per unit by 20%, etc. |
|
|
Term
|
Definition
| Any asset used to generate revenue or make a long-term investment. |
|
|
Term
|
Definition
| Is the accounting process that records costs as assets. |
|
|
Term
|
Definition
| Recording revenue when cash is received and expenses when paid. |
|
|
Term
|
Definition
| Is the accounting process that records costs as assets. |
|
|
Term
|
Definition
| Is computed on principal and on the interest earned that has not been paid or withdrawn. |
|
|
Term
|
Definition
|
|
Term
|
Definition
| The difference between the sales price per unit, and the variable cost per unit. |
|
|
Term
|
Definition
| An economic entity with special legal rights. Formed by state laws. |
|
|
Term
|
Definition
| Acquisition or exchange price. The initial value of an item. |
|
|
Term
|
Definition
| The accumulation and allocation of costs to objects (e.g. product or service). |
|
|
Term
|
Definition
| Cost of the goods or services that were sold to produce the sales. Also called Cost of Sales. |
|
|
Term
|
Definition
| The ability to borrow money. |
|
|
Term
|
Definition
| Assets that will be sold, consumed, or used within one year. |
|
|
Term
|
Definition
| Obligations that will be retired within one year. |
|
|
Term
|
Definition
| Current Assets divided by Current Liabilities. |
|
|
Term
|
Definition
| The amount owed to creditors. |
|
|
Term
|
Definition
| A negative Equity balance. |
|
|
Term
|
Definition
| Systematic and rational allocation of the cost of a long-lived, tangible asset with an estimated useful life. |
|
|
Term
|
Definition
| An investment strategy that decreases risk. |
|
|
Term
|
Definition
|
|
Term
|
Definition
| The study of money and markets. |
|
|
Term
|
Definition
| Economic activity can be identified with a particular unit of accountability. |
|
|
Term
|
Definition
| Asset, Liability, Equity, Revenue, Expense. |
|
|
