Term
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Definition
| An incorporated business owned by one person |
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Term
Main advantage:
sole proprietorship |
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Definition
| owner has complete control over the business |
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Term
Main disadvantage:
sole proprietorship |
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Definition
| Owner is personally liable for the debts of the business |
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Term
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Definition
| Unincorporated business owned by two or more people |
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Term
Main Advantage:
Partnership |
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Definition
| Business has access to more money |
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Term
Main disadvantage:
Partnership |
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Definition
| Partners are personally liable for the debts of the business |
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Term
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Definition
| An equal enitiy created under the laws of a certain state |
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Term
Main advantage:
Corporation or "C" Corporation |
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Definition
| Owners are not personally liable for the debts of the business |
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Term
Main disadvantage:
Corporation or "C" Corporation |
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Definition
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Term
Main advantage:
"S" Corporation |
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Definition
| business is taxed like a partnership |
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Term
Main disadvantage:
"S" Corporation |
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Definition
| Restrictions on the number of owners |
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Term
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Definition
| Business may choose to be taxed as a partnership |
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Term
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Definition
| to provide information about an organization's finacial transactions |
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Term
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Definition
| A journal is a book in which transactions are recoreded |
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Term
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Definition
| A book that shows "how much" of an item an organization has (how much cash, inventory and sales revenue) |
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Term
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Definition
| A book that shows the detail of one specific general ledger page |
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Term
| 7 basis accounting catorgories |
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Definition
Asset Expense
Liability Gain
Owner's eqity Loss
Revenue |
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Term
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Definition
| Something of value that the business owns (I-D) |
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Term
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Definition
| A debt that the business owns (D-I) |
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Term
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Definition
| the amount that the owner has invested into the business(D-I) |
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Term
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Definition
| the selling price of (a) merchandise sold to costomers or (b) services provided to customers (D-I) |
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Term
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Definition
| the cost of services recieved by others (I-D) |
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Term
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Definition
| the excess of the selling price of an asset(except inventory) over its carrying amount (D-I) |
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Term
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Definition
| the excess of the (carrying account) of an asset (except inventory) over its selling price (I-D) |
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Term
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Definition
| the left hand "amount" column on a general ledger page |
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Term
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Definition
| a general ledger page on which a number is entered into the left handed "amount" column |
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Term
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Definition
| the right handed "amount" |
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