Accounting I (Unit 2A) Vocabulary Words
Vocabulary words for Unit 2 of Accounting I
A record summarizing all the information pertaining to a single item in the accounting equation.
The amount in an account.
The series of accounting activities included in recording financial information for fiscal period.
An equation showing the relationship among assets, liabilities, and owner's equity.
Accounting Period Cycle Concept
Changes in financial information are reported for a specific period of time in the form of financial statements.
An organized summary of a business's financial activities.
A planned process for providing financial information that will be useful to management.
The number assigned to an account
The name given to an account.
Adequate Disclosure Concept
Financial statements that contain all information necessary to understand a business's financial condition.
Journal entries recorded to update general ledger accounts at the end of the fiscal period.
Changes recorded on a work sheet to update general ledger accounts at the end of the fiscal period.
Anything of value that is owned
Business Entity Conept
Financial information is recorded and reported separately from the owner's personal financial information.
The account used to summarize the owner's equity in a business.
Jounal entries used to prepare temporary accounts for a new fiscal period.
Consistent reporting concept
The same accounting procedures are followed in the same way on each accounting period.
A journal entry made to correct an error in a ledger.
Financial rights to the assets of a business.
The procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current.