Shared Flashcard Set

Details

Accounting - Chapter 1 and 2 Terms
Use these to study for your chapter 2 test
27
Accounting
Not Applicable
09/23/2016

Additional Accounting Flashcards

 


 

Cards

Term
Accounting
Definition
planning, recording, and analyzing financial information
Term
accounting system
Definition
a planned process for providing financial information that will be usefull to management
Term
accounting records
Definition
organized summaries of a business's financial activities
Term
Service Business
Definition
a business that performs an activity for a fee
Term
Proprietorship
Definition
a business that is owned by a single person
Term
financial statements
Definition
Financial reports that summaraize the financial condition and operations of a business
Term
asset
Definition
anything of value that is owned
Term
equities
Definition
financial rights to the assets of a business
Term
liability
Definition
An amount owed by a business
Term
owner's equity
Definition
The amount remaining after the value of all liabilities are subtracted from assets.
Term
Accounting equation
Definition
An equation showing the relationship among assets, liabilities, and owner's equity.
Term
ethics
Definition
The principles of right an wrong that guide an individual in making decisions
Term
business ethics
Definition
the use of ethics in making business decisions
Term
transaction
Definition
a business activity that changes assets, liablities, or owner's equity.
Term
Account
Definition
a record summarizing all the information pertaining to a single item in the accounting equation
Term
Account title
Definition
The name given to an account
Term
account balance
Definition
The amount in an account
Term
capital
Definition
the account used to summarize the owner's equity in a business
Term
revenue
Definition
an increase in owner's equity
Term
sale on account
Definition
a sale for which cash will be recieved at a later date
Term
expense
Definition
a decrease in owner's equity resulting from the operation of a business
Term
withdrawals
Definition
assets taken out of the bussiness for the owner's personal use
Term
T account
Definition
An accounting device used to analayze transactions
Term
Normal Balance
Definition
The side of the account that is increased
Term
debit
Definition
An amount recorded on the left side of the account
Term
credit
Definition
an amount recorded on the right side of the account
Term
chart of accounts
Definition
a list of accounts used by a business
Supporting users have an ad free experience!