Create an account
A record summarizing all the information pertaining to a single item in the accounting equation.
The series of accounting activities included in recording financial information for a fiscal period.
An equation showing the relationship among assets, liabilities, and owner's equity.
A planned process for providing financial information that will be useful to management.
Accounts Payable Ledger
A subsidiary ledger containing only accounts for vendors from whom items are purchased or bought on account.
The total amount of depreciation expense that has been recorded since the purchase of a plant asset.
Journal entries recorded to update general ledger accounts at the end of a fiscal period.
Changes recorded on a work sheet to update general ledger accounts at the end of a fiscal period.
Allowance Method of Recording Losses from Uncollectible Accounts
Crediting the estimated value of uncollectible accounts to a contra account.
The value of an asset determined by tax authorities for the purpose of calculating taxes.
A financial statement that reports assets, liabilities, and owner's equity on a specific date.
The process of preparing a batch report of credit card sales from a point-of-sale terminal.
Board of Directors
A group of people elected by the stockholders of a corporation to set the policies for the corporation.
The difference between an asset's account balance and its related contra account balance.
Book Value of Accounts Receivable
The difference between the balance of Accounts Receivable and its contra account, Allowance for Uncollectible Accounts.
A sale in which cash is received for the total amount of the sale at the time of the transaction.
The percentage relationship between one financial statement item and the total that includes that item.
An account in a general ledger that summarizes all accounts in a subsidiary ledger.
An organization with the legal rights of a person and which may be owned by many persons.
Credit Card Sale
A sale in which a credit card is used for the total amount of the sale at the time of the transaction.
A form prepared by the vendor showing the amount deducted for returns and allowances.
A bank card that automatically deducts the amount of a purchase from the checking account of the cardholder.
A form prepared by the customer showing the price deduction taken by the customer for returns and allowances.
Declaring a Dividend
Action by a board of directors to distribute corporate earnings to stockholders.
Declining-balance Method of Depreciaion
Multiplying the book value by a constant depreciation rate at the end of each fiscal period.
The portion of a plant asset's cost that is transferred to an expense account in each fiscal period during a plant asset's useful life.
A written, signed, and dated order from one party ordering snother party, usually a bank, to pay money to a third party.
Earnings Per Share
The amount of net income after federal income tax belonging to a single share of stock.
Electronic Funds Transfer
A computerized cash payments system that transfers funds without the use of checks, currency, or other paper documents.
Employee Earnings Record
A business form used to record details affecting payments made to an employee.
Estimated Salvage Value
The amount an owner expects to receive when a plant asset is removed from use.
Federal Unemployment Tax
A federal tax used for state and federal administrative expenses of the unemployment program.
The procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current.
Financial reports that summarize the financial condition and operations of a business.
First-in, First-out Inventory Costing Method
Using the price of merchandise purchased first to calculate the cost of merchandise sold first.
Gross Profit Method of Estimating Inventory
Estimating inventory by using the previous year's percentage of gross profit on operations.
A form used during a periodic inventory to record information about each item of merchandise on hand.
Last-in, First-out Inventory Costing Method
Using the price of merchandise purchased last to calculate the cost of merchandise sold first.
The amount remaining after the value of all liabilities is subtracted from the value of all assets.
A merchandise inventory determined by counting, weighing, or measuring items of merchandise on hand.
A merchandise inventory determined by keeping a continuous record of increases, decreases, and balance on hand.
Plant Asset Record
An accounting form on which a business records information about each plant asset.
A computer used to collect, store, and report all the information of a sales transaction.
The relationship between the market value per share and earnings per share of a stock.
An invoice used as a source document for recording a purchase on account transaction.
Credit allowed for part of the purchase price of merchandise that is not returned, resulting in a decrease in the customer's accounts payable.
Credit allowed for the purchase price of returned merchandise, resulting in a decrease in the customer's accounts payable.
Retail Merchandising Business
A merchandising business that sells to those who use or consume the goods.
An entry made at the beginning of the next accounting period; the exact opposite of the adjusting entry made in the previous period.
Credit allowed a customer for part of the sales price of merchandise that is not returned, resulting in a decrease in the vendor's accounts receivable.
Credit allowed a customer for the sale price of returned merchandise, resulting in a decrease in the vendor's accounts receivable.
Schedule of Accounts Payable
A listing of vendor accounts, account balances, and total amount due all vendors.
Schedule of Accounts Receivable
A listing of customer accounts, account balances, and total amount due from all customers.
Statement of Stockholder's Equity
A financial statement that shows changes in a corporation's ownership for a fiscal period.
A form used to show the kind of merchandise, quantity received, quantity sold, and balance on hand.
Straight-line Method of Depreciation
Charging an equal amount of depreciation expense for a plant asset in each year of useful life.
A report prepared to give details about an item on a principal financial statement.
Accounts used to accumulate information until it is transferred t o the owner's capital account.
The report that summarizes the cash and credit card sales of a point-of-sale terminal.
Weighted-average Inventory Costing Method
Using the average cost of beginning inventory plus merchandise purchased during a fiscal period to calculate the cost of merchandise sold.
Wholesale Merchandising Business
A business that buys and resells merchandise to retail merchandising businesses.
A deduction from total earnings for each person legally supported by a taxpayer, including the employee.
A columnar accounting form used to summarize the general ledger information needed to prepare financial statements.
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