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Details Title: Cycle 1 Description: Sole Proprietorship Total Flash Cards: 62 Created: 10/06/2006 07:14:14	To study from this set of flash cards, or to create your own your own study flash cards, register HERE. If you are already a registered user, CLICK HERE.
Cards Term Accounting Definition Planning, recording, analyzing, and interpreting financial informattion. Term Accounting System Definition planned process for providing financial information that will be useful to management. Term Accounting Records Definition organized summaries of a business's financial activites. Term Service Business Definition businesses that performs an activity for a fee. Term Proprietorship Definition business owned by one person. Term Asset Definition ownership with value. Term Equities Definition financial rights to the assets of a business. Term Liability Definition amount remaining after the value of all liabilites is subtracted from the value of all assets. Term Accounting Equation Definition Assets=Liability+Owner's Equity Term Transaction Definition business activity that changes assets, liabilites, or owner's equity. Term Unit of Measurement Definition applied when business transactions are stated in numbers that have a common values. Term Account Definition a record containing all the infomration pertaining to a single item in the accouting equation. Term Account Title Definition 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 Own Account Definition credit Term Journal Definition form for recording transactions in chronolgical order. Term Journalizing Definition recording transaction in journal. Term Special Amount Column Definition journal amount column headed with an account title. Term General Amount Column Definition journal amount that is not headed with an account title. Term Entry Definition information for each transaction recorded in a journal. Term Double-Entry Accounting Definition recording of debit and credit parts of a transaction. Term Source Document Definition business paper from which information is obtained for a journal entry. Term Invoice Definition a form describing the goods or services sold, the quantity, and the price. Term Sales Invoice Definition invoice used as a source document form recording a sale on account. Term Memorandum Definition form on which a brief message is written describing a transaction. Term Receipt Definition a business form giving written acknowledgement for cash received. Term Proving Cash Definition determining that the amount of cash agrees with accounting records. Term Ledger Definition a group of acounts Term General Ledger Definition a ledger that contains all accounts needed to prepare financial statements. Term Account Numbers Definition the number assigned to an account. Term File Maintenance Definition the procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current. Term Opening an account Definition writing an account title and number on the heading of an account. Term Posting Definition transferring information from a journal entry to a ledger account. Term Owner's Equity Definition amount remaining after the value of all liabilities is subtracted. Term Double-Entry Accounting Definition recording of debit and credit parts of a transaction. Term Checking Account Definition a bank account from which payments can be ordered by a depositor. Term Endorsement Definition a signature or stamp on the back of a check tranferring ownership. Term Blank Endorsement Definition an endorsement consisting only of the endorser's signature. Term Special Endorsement Definition an endorsement indicating a new owner of a check. Term Restrictive Endorsement Definition an endorsement restricting further tranfer of a check ownership. Term Bank Statement Definition a report of deposits, withdrawals, and bank balances sent to a depositor by a bank. Term Dishonored Check Definition a check that a bank refuses to pay. Term Dishonored Check Definition a check that a bank refuses to pay. Term Electronic Funds Tranfer Definition a computerized cash payments system that uses electronic impulses to tranfer funds. Term Debit Card Definition a bank card that, when making purchases automatically deducts the amount of the purchase from the checking account of the cardholder. Term Petty Cash Definition an amount of cash kept onhand and used for making small payments. Term Petty Cash Slip Definition a form showing proof of a petty cash payment. Term Postdated Check Definition a check with a future date on it. Term Partnership Definition a business in which two or more persons combine their assets and skills. Term Partner Definition each member of a partnership. Term Merchandising Business Definition a business that purchases and sells goods. Term Retail Merchandinsing Business Definition a merchandising business that sells to those who use or consume goods. Term Merchandise Definition goods that a merchandising business purchases to sell. Term Wholesale Merchandising Business Definition a business that buys and resells merchandise to retail merchandising business. Term Cost Of Merchandise Definition the price a business pays for goods it purchases to sell. Term Markup Definition the amount added to the cost of merchandise to establish the selling price. Term Vendor Definition a business from which merchandise is purchased or supplies or other assets are bought. Term Purchase Invoice Definition an invoice used as a source document for recording a purchase on account transaction. Term Terms of Sale Definition an agreement between a buyer and a seller about payment for merchandise. Term Owner's Equity Definition the amount remaining after the value of all liabilities is subtracted from the value of all assets. Term Balance Sheet Definition a financial statement that reports assets, liabilities, and owner's equity on a specfic date.