Term
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Definition
| It is the systematic way by which we show where the money is. |
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Term
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Definition
-begins accounting cycle
-records financial transactions
-prepares the books |
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Term
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Definition
-analyzes information
-applies appropriate accounting rules
-makes recommendations to decision-makers |
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Term
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Definition
1. Analyze source documents
2. record transactions in journals
3. transfer
4. take a trial balance
5. prepare financial statements
6. analyze financial statements |
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Term
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Definition
| The amount of business that belongs to the owners minus any liabilities owed by the business |
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Term
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Definition
| A current asset that represents what customers owe you for merchandise |
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Term
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Definition
| the value of what a firm receives for goods and services (sales) |
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Definition
| The things of value owned by a firm |
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Term
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Definition
| A financial statement that shows a firms financial conditions for a specific time |
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Term
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Definition
| the recording of financial transactions |
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Definition
| the difference between cash coming in and cash going out |
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Term
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Definition
| the measure of the cost of merchandise sold or the cost of raw materials and supplies used for producing a product. |
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Term
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Definition
| items that can or will be converted into cash within one year |
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Term
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Definition
| a systematic write off of the cost of a tangible asset over time |
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Term
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Definition
| A method of recording every financial transaction twice in a firm's account ledger. Once on the asset side, another on the liability side to keep the ledger balanced. |
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Term
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Definition
| long term assets that are fairly permanent |
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Term
| Fundamental accounting equation |
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Definition
| assets=liability + owners equity |
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Term
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Definition
| the financial statement that shows a firms bottom line (profit after costs) |
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Term
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Definition
| a record book or computer program in which daily financial transactions are kept |
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Term
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Definition
| a specialized accounting book in which info from accounting journals is transferred into special categories (office supplies, cash). |
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Term
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Definition
| what a business owes to others |
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Term
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Definition
| a term for how fast an asset can be converted into cash |
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Term
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Definition
| short or long term liabilities that a company will pay by a certain date |
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Term
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Definition
| the accumulated earnings from the firms profitable operations that were kept and not paid out to stockholders |
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