Create an account
A device for recording the changes ( increases or Decreases) in the fundamental accounting elements
one who is concerned with the design of the system of records, the preparation of reports based upon the recorded data and the interpertation of the reports
a language of business employed to communicate financial information based upon analyzing, recording, classification, summerization, reporting,and interpertation of financial data.
The process involved in journalizing, posting to the ledger taking a trial balance, preparing statements, making adjusting and closing entries, and preparing a post closing trial balance
An unwritten promise to pay creditors for property , such as merchandise, supplies, or equipment, purchased on credit, or for services recieved on credit
and un written promise by a costumer to pay, at a later date, for goods sold or services rendered
Recording in each fiscal period applicable expenses, wether paid or not, and income earned, wether collected or not
An expense incurred in operating a business during an accounting period but not yet paid
Income actually earned during an accounting period but which will not be recieved until a future period
Age of accounts receivable
measures the average time required to collect recievables. CALCULATION = 365 days divided by Accounts recievable turnover
Allowance for bad debts
A contra-asset account utilized to accumulate totals against accounts receivable
Determining the fundamental significance of business transactions so that financial information may be properly processed
a formal financial statement illustrating the assets, liabilities, Owners equity of a business as of a specific date
Balance sheet common size statements
express the major items in the balance sheet as a percent of the total assets and compare with previous fiscal periods
Bankers method / 360 day method
a method of computing interest based on the assumption that there are 360 days in a year
an itemized listing prepared by the bank of additions to the subtractions from a depositors account
one who is involved in the process of recording financial information in a prescribed manner
The 1st record of a business transaction , such as check stubs, receipts, sales invoices, purchase invoices, cash register tapes ect,,
The amount by which the total assets exceed the total liabilities of a business an owners financial interest in a business
coins , currency ( paper money) checks , credit card receipts and money orders received from others, as well as money deposited in the bank
Cash basis accounting
an accounting partice in which revenue is not recognized in the accounting records until received and in which expenses are not recognized until paid
Please allow access to your computer’s microphone to use Voice Recording.
Having trouble? Click here for help.
We can’t access your microphone!
Click the icon above to update your browser permissions and try again
Reload the page to try again!Reload
Press Cmd-0 to reset your zoom
Press Ctrl-0 to reset your zoom
It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.
Please upgrade Flash or install Chrome
to use Voice Recording.
For more help, see our troubleshooting page.
Your microphone is muted
For help fixing this issue, see this FAQ.
Star this term
You can study starred terms together