Term
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Definition
| Has revenues and expense accounts. Also has net income. |
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Term
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Definition
| Provided a good or service and take the money made from the good or service and put it into the proper account. |
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Term
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Definition
| Costs we incur to help us earn revenue. |
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Term
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Definition
| The money you profit or lose. |
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Term
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Definition
1. Income Statement
2. Statement of Stockholders Equity
3. Balance Sheet
4. Statement of Cash Flows |
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Term
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Definition
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Term
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Definition
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Term
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Definition
| Double taxation and a large company. |
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Term
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Definition
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Term
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Definition
| Borrow money from bank and have to pay back loan plus the interest. |
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Term
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Definition
| Putting own money into business. |
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Term
| Statement of Stockholders Equity |
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Definition
| Shows increases and decreases to common stock and retained earning accounts over a period of time. |
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Term
| Stockholders Equity Formula |
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Definition
Ending Common Stock + Ending Retained Earnings
or
Assets - Liabilities |
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Term
| Ending Common Stock Formula |
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Definition
| Beginning Common Stock + Insurance Common Stock |
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Term
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Definition
| Are amounts invested by the owners. |
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Term
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Definition
| Are accumulated earnings minus distributions to owners. |
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Term
| Ending Retained Earnings Formula |
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Definition
| Beginning Retained Earnings + Net Income/Loss - Dividends. |
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Term
| Beginning Retained Earnings Formula |
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Definition
| Retained Earnings + Dividends - Net Income/Loss |
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Term
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Definition
Financial statement with the following accounts;
1. Assets
2. Liabilities
3. Stockholders Equity |
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Term
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Definition
| Something the company owns that will provide a future benefit. |
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Term
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Definition
| Owed by the company as a result of past transactions. |
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Term
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Definition
| Liability + Stockholder Equity |
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Term
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Definition
| Assets - Stockholder Equity |
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Term
| The Statement of Cash Flows |
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Definition
| Operating activities, investing activities, and financing activities. |
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Term
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Definition
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Term
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Definition
| Investing cash and buying long term equipment. |
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Term
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Definition
| When the company borrows money and pays it back. Also any time they deal with an owner. |
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Term
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Definition
| Company updating records and using own supplies. |
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Term
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Definition
| Paying employees, selling to customers, or borrowing money. |
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Term
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Definition
| Receipt, invoice, or a document that let you know what happened. |
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Term
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Definition
| Listing of the accounts a company uses to record the transactions of its business operations. |
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Term
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Definition
| Revenues increase net income, and net income increases retained earnings causing stockholders equity to increase. |
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Term
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Definition
| On the left side and includes dividends, expenses, and assets. |
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Term
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Definition
| On the right side and includes liabilities, owners equity, and revenues. |
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Term
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Definition
| Add up all the debits and subtract the credits. |
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Term
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Definition
| Add up all the credits and subtract the debits. |
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Term
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Definition
| Not included in revenues because the service has not been provided yet. |
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Term
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Definition
| Recognized as asset not an expense. |
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Term
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Definition
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Term
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Definition
| Job has been done but customer has not paid yet. |
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Term
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Definition
| Borrow money from the bank and have to pay it back. |
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Term
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Definition
| Owe money for a job/account. |
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