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Definition
| year established for accounting purposes which may differ from a calender year |
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Term
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Definition
| time spans established for accounting pruposes that are less than one year |
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| increases in owners' equity arising from increases in assets received in exhange for the delivery of goods or services to customers |
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Term
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Definition
| decreases in owners' equity that arise because a company delivers goods or services to customers |
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Term
| income (profits, earnings) |
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Definition
| the excess of revenues over expenses |
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Term
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Definition
| original acquisirion costof the inventory that a company sells to customers during the reporting period |
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Term
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Definition
| accounting method that ecognize the impact of transactions on the financial statements in the time periods when revenues and expenses occur |
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Term
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Definition
| accounting method that ecognize the impact of transactions on the financial statements in the time periods when revenues and expenses occur |
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Term
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Definition
| accounting method that recognizes the impact of transatcions on the financial satements only when a company receives or pays cash |
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Term
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Definition
| a test for determining whether to record revenues in the financial satements of a given period. to be recognized, revenues must be earned and realized |
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Term
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Definition
| helps accountants relate events to a clearly defined area of accountability |
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Term
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Definition
| a quality of information that assures decision makers that the information captures the conditions or events it purports to represent |
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Term
| going concern (continuity) |
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Definition
| a convention that assumes that ordinarily an entity persists indefinitely |
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Term
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Definition
| convention that asserts that an item should be included in a financial satementif its omission or misstatement would tend to mislead the reader of the financial staements under consideration |
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Term
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Definition
| citerion that states tht an accounting system should be changed when the exoecteds additional benefits of the change exceed its expected addtional costs |
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