Study sets matching "accounting 101"

Study sets
Classes
Users

Study sets matching "accounting 101"

44 terms
Accounting 101
Put-and-Take Account
temporary investments
permanent investments
systematic investing
money used to pay for short-term needs with enough left over…
investing short-term, such as, regular savings account
investing long-term, such as retirement savings.
investing on a regular and planned basis
Put-and-Take Account
money used to pay for short-term needs with enough left over…
temporary investments
investing short-term, such as, regular savings account
Accounting 101
Annual Report
Basic Accounting Equation
Common Stock
Corporation
a report prepared by an outside auditor stating the auditors…
Assets = Liabilities + Stock Holders' Equity
Total amount paid by stockholders for the shares (stock) they…
A business organized as a separate entity from the entity own…
Annual Report
a report prepared by an outside auditor stating the auditors…
Basic Accounting Equation
Assets = Liabilities + Stock Holders' Equity
90 terms
ACCOUNTING 101
A=L+OE, What does if stand for?
ASSETS ARE DEBIT ACCOUNTS: TRUE OR FAL…
LIABILITY AND OWNERS EQUITY ARE CREDIT…
IS A REVENUE ACCOUNT A DEBIT OR CREDIT…
ASSETS = LIABILITY + OWNERS EQUITY
TRUE
TRUE
CREDIT
A=L+OE, What does if stand for?
ASSETS = LIABILITY + OWNERS EQUITY
ASSETS ARE DEBIT ACCOUNTS: TRUE OR FAL…
TRUE
8 terms
Accounting 101
Balance Sheet
Finacial statment
Liabilities
Capitial
Reports a business's assets, liabilities, and capital on a sp…
Reports that summarize financial data over a period of time
Claims aginst others of dephts owed to others
The amount an organization or individual is worth
Balance Sheet
Reports a business's assets, liabilities, and capital on a sp…
Finacial statment
Reports that summarize financial data over a period of time
251 terms
Accounting 101
A. Tangible assets used in the operati…
E. All of these
B. Used in operations.
E. All of these.
66. Plant assets are: ... A. Tangible assets used in the operati…
67. A main accounting issue for plant assets is: ... A. Computin…
68. Plant assets are: ... A. Current assets.... B. Used in operatio…
69. The relevant factor(s) in computing depreciation include:…
A. Tangible assets used in the operati…
66. Plant assets are: ... A. Tangible assets used in the operati…
E. All of these
67. A main accounting issue for plant assets is: ... A. Computin…
19 terms
Accounting 101
Accounting
Recordkeeping
language of business
External users
Information and measurement system that identifies, records,…
Part of accounting that involves recording transactions and e…
Accounting is called the _______ _ _________ because all orga…
Persons using accounting information not directly involved in…
Accounting
Information and measurement system that identifies, records,…
Recordkeeping
Part of accounting that involves recording transactions and e…
43 terms
Accounting 101
Cash
Equipment
Accounts Payable
Common Stock
Assets, balance sheet, debit
Assets, balance sheet, debit
Liabilities, balance sheet, credit
Equity, balance sheet/SSE, credit
Cash
Assets, balance sheet, debit
Equipment
Assets, balance sheet, debit
23 terms
Accounting 101
Provide the complete accounting equation
Indicate which accounts are on the Bal…
Indicate how to increase each type of…
Credit means (one word)
A=L+SE... Revenues - Expenses = Net Income (Loss)
Balance sheet: Assets, Liabilities, Stockholders' Equity... Inco…
Assets: Debit... Liabilities: Credit... Stockholders' Equity: Credi…
Right
Provide the complete accounting equation
A=L+SE... Revenues - Expenses = Net Income (Loss)
Indicate which accounts are on the Bal…
Balance sheet: Assets, Liabilities, Stockholders' Equity... Inco…
10 terms
Accounting 101
Debit
Credit
Net income
Net loss
An amount recorded on the left
An amount recorded on the right
The difference between revenues and expenses for a designated…
The amount lost when expenses are higher than revenue
Debit
An amount recorded on the left
Credit
An amount recorded on the right
Accounting 101
Accounting
Accounting
3 Types of Businesses
GAAP
is an information system that provides reports to users about…
Is the language of business.
1) Service - provide services, rather than products to custom…
Generally Accepted Accounting Principles
Accounting
is an information system that provides reports to users about…
Accounting
Is the language of business.
Accounting 101
Invoice
Cheque
Duplicate receipt
You owe money... You pay money
(Source document) posting to creditor ledger from CJ
(Source document) posting to creditor ledger from CPJ
(Source document) posting to creditors ledger from CAJ
= credited... = debited ... Credited- debited = how much you still…
Invoice
(Source document) posting to creditor ledger from CJ
Cheque
(Source document) posting to creditor ledger from CPJ
Accounting 101
Merchandise
Merchandiser
Wholesaler
Retailer
consists of products
earns net income by buying and selling
buys products from manufacturers
buys products from manufacturers
Merchandise
consists of products
Merchandiser
earns net income by buying and selling
accounting 101
accounting equation
asset
expense
liability
the basic tool of accounting stated as assets=liability+equity
an economic resource that is expected to be of benefit in the…
decreases in equity that occur in the course of selling goods…
debts that are owed to creditors
accounting equation
the basic tool of accounting stated as assets=liability+equity
asset
an economic resource that is expected to be of benefit in the…
115 terms
Accounting 101
Corporation
Business Activities
Accounting
Annual report
A business organized as a separate legal entity having owners…
Financing investing and operating
The information system that identifies records and communicat…
A report prepared by corporate management that presents finan…
Corporation
A business organized as a separate legal entity having owners…
Business Activities
Financing investing and operating
23 terms
Accounting 101
Accounting
Accounting records
Assets
Equity
Planning, recording, analyzing, and interpreting financial in…
Organized summaries of a business's financial activities
Resources owned by a business/ things of value that are used…
Financial rights to the assets of a business
Accounting
Planning, recording, analyzing, and interpreting financial in…
Accounting records
Organized summaries of a business's financial activities
32 terms
Accounting 101
Income Statement
Retained Earnings Statement
Balance Sheet
Current Assets
Revenues ________... Expenses __________... net come or net loss _…
Retained Earnings ( Last year) ________... add or less: net inco…
Assets: ... Liabilities and Stockholders Equity: ... Always Balence
cash... accounts receivable... debt investments... notes receivable... in…
Income Statement
Revenues ________... Expenses __________... net come or net loss _…
Retained Earnings Statement
Retained Earnings ( Last year) ________... add or less: net inco…
Accounting 101
Long-Term Assets
Liabilities
Shareholders' Equity
Intangible Asset
the value of a company's property, equipment, and other capit…
a company's financial debt or obligations that arise during t…
equal to a firm's total assets minus total liabilities
an asset that is not physical in nature
Long-Term Assets
the value of a company's property, equipment, and other capit…
Liabilities
a company's financial debt or obligations that arise during t…
217 terms
Accounting 101- Basic Accounting
Accountant
Accounting
Economic unit
Ethics
A person who keeps the financial history of the transactions…
The process of analyzing, classifying, recording, summarizing…
Includes both business enterprises and not-for-profit entitie…
A philosophy or code or system of morality that is, how we co…
Accountant
A person who keeps the financial history of the transactions…
Accounting
The process of analyzing, classifying, recording, summarizing…
7 terms
Accounting 101
Earned Video Rental Revenue on account…
Purchased Office Furniture
Received cash on account
Paid cash on account
Increase Asset (AR) increase equity (Rental Revenue)
Increase Asset (OF) increase liability (accounts payable)
Increase Asset (cash) decrease asset (AR)
Decrease Asset (cash) decrease liability (accounts payable)
Earned Video Rental Revenue on account…
Increase Asset (AR) increase equity (Rental Revenue)
Purchased Office Furniture
Increase Asset (OF) increase liability (accounts payable)
108 terms
accounting 101
Retained earnings statement
Liabilities
Net income results when
Retained earnings at the end of the pe…
the financial statement that summarizes the changes in retain…
debt and obligations of a business are referred
revenues > expenses
retained earnings at the beginning of the period plus net inc…
Retained earnings statement
the financial statement that summarizes the changes in retain…
Liabilities
debt and obligations of a business are referred
34 terms
Accounting 101
Assets increase with
Liabilities increase with
Stockholder's Equity increases with
Revenue increases with
Debit
Credit
Credit
Credit
Assets increase with
Debit
Liabilities increase with
Credit
Accounting 101
Unearned Revenue is a credit or debit…
Unearned Revenue is on Balance sheet o…
Unearned Revenue is a temporary or per…
Unearned Revenue is an asset or Liabil…
Credit balance
Balance sheet
Permanent account
Liability
Unearned Revenue is a credit or debit…
Credit balance
Unearned Revenue is on Balance sheet o…
Balance sheet
61 terms
Accounting 101 Chapter 2
Classified Balance Sheet
Current Assets
Cash... Short-term investments (notes, bo…
liquidity
Groups together similar assets and liabilities under standard…
Assets expected to be used/converted to cash within 1 year pe…
Current Assets
how fast can asset convert to cash
Classified Balance Sheet
Groups together similar assets and liabilities under standard…
Current Assets
Assets expected to be used/converted to cash within 1 year pe…
44 terms
Accounting 101 Chapter 1
Accounting
Accounting equation
Accounts payable
Accounts receivable
The information system that measures business activity, proce…
The basic tool in accounting, measuring the resources of the…
A short term liability that will be payed in the future
The right to receive cash in the future from customers for go…
Accounting
The information system that measures business activity, proce…
Accounting equation
The basic tool in accounting, measuring the resources of the…
49 terms
Accounting 101
Financial accountant (chartered accoun…
Accounting technician
Auditor
Management accountant
Preparation of financial statement and interpreting there sta…
Preparation of a business's journals and ledgers and of gst r…
Checking the accuracy of the accounting systems and financial…
Works within a large business, preparing and monitoring budge…
Financial accountant (chartered accoun…
Preparation of financial statement and interpreting there sta…
Accounting technician
Preparation of a business's journals and ledgers and of gst r…
33 terms
Accounting 101 Chapter 1
Accounting is
Investors
Creditors
Managerial Accounting is used for
"the language of business" a system a of maintaining records…
decide whether to invest in stock
decide whether to lend money
Internal users (managers)
Accounting is
"the language of business" a system a of maintaining records…
Investors
decide whether to invest in stock
Accounting 101
Accounting
Identifying
Recording
Communicating
Accounting is an information and measurement system that iden…
Identifying business activities requires selecting transactio…
Recording business activities requires keeping a chronologica…
Communicating business activities requires preparing accounti…
Accounting
Accounting is an information and measurement system that iden…
Identifying
Identifying business activities requires selecting transactio…
7 terms
Accounting 101 Vocabulary
Property or items of value owned by a…
The business or person selling you the…
Anything of value that is owned or con…
The dollar amount the owner has paid t…
Assets
Creditor
Property
Owner's Equity
Property or items of value owned by a…
Assets
The business or person selling you the…
Creditor
11 terms
Accounting 101
Financial statements
Balance sheet
Liabilities
Capital
Reports that summarize financial data over a period of time
Reports a business's assets, liabilities, and capital on a sp…
Claims against assets
The amount an organization or individual is worth
Financial statements
Reports that summarize financial data over a period of time
Balance sheet
Reports a business's assets, liabilities, and capital on a sp…
192 terms
Accounting 101 Final
sole proprietorship
partnership
corporation
accounting
a business owned by one person, simple to set up, gives on pe…
two or more people own a business, both bring unique skills a…
a business organized as a separate and legal existence, stock…
the information system that identifies, records, and communic…
sole proprietorship
a business owned by one person, simple to set up, gives on pe…
partnership
two or more people own a business, both bring unique skills a…
Accounting 101
Financial statements
Balance sheet
Liabilities
Capital
is a formal record of the financial activities and position o…
a statement of the assets, liabilities, and capital of a busi…
as the future sacrifices of economic benefits that the entity…
Capital can refer to funds raised to support a particular bus…
Financial statements
is a formal record of the financial activities and position o…
Balance sheet
a statement of the assets, liabilities, and capital of a busi…
14 terms
Accounting 101
Definition of accounting
Types of business organizations - adva…
Definition of generally accepted accou…
Be able to explain the role of various…
Accounting consists of three basic activities—it identifies,…
1. For profit 2. Non-profit (activity not done to make a prof…
...
...
Definition of accounting
Accounting consists of three basic activities—it identifies,…
Types of business organizations - adva…
1. For profit 2. Non-profit (activity not done to make a prof…
17 terms
Accounting 101
financial statement
balance sheet
liabilities
capital
A summary of all the transactions that have occurred over a p…
A financial statement that reports assets, liabilities, and o…
Amounts owed to creditors
An economic system based on private property and free enterpr…
financial statement
A summary of all the transactions that have occurred over a p…
balance sheet
A financial statement that reports assets, liabilities, and o…
Accounting 101
Financial statements
Balance sheet
Liabilities
Capital
A financial statement is a formal record of the financial act…
A balance sheet is a financial statement that summarizes a co…
Amounts owed to creditors
An economic system based on private ownership of capital
Financial statements
A financial statement is a formal record of the financial act…
Balance sheet
A balance sheet is a financial statement that summarizes a co…
Accounting 101
Financial Statements
Balance Sheet
Liabilities
Capital
is a formal record of the financial activities and position o…
also referred to as a statement of financial position, report…
the state of being responsible for something, especially by l…
wealth in the form of money or other assets owned by a person…
Financial Statements
is a formal record of the financial activities and position o…
Balance Sheet
also referred to as a statement of financial position, report…
Accounting 101
balance sheet
external users
generally accepted accounting principles
internal users
a position statement that shows where the company stands in f…
individuals and other enterprises that have a financial inter…
principles that provide the framework for determining what in…
individuals who use accounting information from within an org…
balance sheet
a position statement that shows where the company stands in f…
external users
individuals and other enterprises that have a financial inter…
ACCOUNTING 101
Financial statements
balance sheet
liabilities
capital
is a formal record of the financial activities and position o…
a statement of the assets, liabilities, and capital of a busi…
a thing for which someone is responsible, especially a debt o…
Financial assets or the financial value of assets, such as ca…
Financial statements
is a formal record of the financial activities and position o…
balance sheet
a statement of the assets, liabilities, and capital of a busi…
35 terms
Accounting 101
Accounts Payable
Accounts Receivable
Assets
Balance Sheet
Amounts a business must pay in the future.
Claims for future collection from customers.
Property owned by a business.
A formal report of a business' financial condition on a certa…
Accounts Payable
Amounts a business must pay in the future.
Accounts Receivable
Claims for future collection from customers.
accounting 101
current liabilities
current assets
property, plant, and equipment
property, plant, and equipment
accounts payable
accounts receivable
accumulated depreciation
buildings
current liabilities
accounts payable
current assets
accounts receivable
11 terms
Accounting 101
Revenue
Expenses
Net Income
balance sheet
are the assets earned by a company's operations and business…
The money spent on something
Revenue - expenses
presents a company's financial position at the end of a speci…
Revenue
are the assets earned by a company's operations and business…
Expenses
The money spent on something
Accounting 101
Business
Profit
Service businesses
Merchandising businesses
an organization in which basic resources (inputs), such as ma…
the difference between the amounts received from customers fo…
provide services rather than products to customers
sell products they purchase from other businesses to customers.
Business
an organization in which basic resources (inputs), such as ma…
Profit
the difference between the amounts received from customers fo…
20 terms
Accounting 101
What are the 3 financial statements us…
Balance Sheet
fundamental accounting equation
assets
1. Balance Sheet... 2. Cash Flow Statement... 3. Income Statement... 4…
→ snapshot of company's economic resources and funding for th…
assets = liabilities + shareholders' equity
→ resources a company uses to operate its business ~ cash, ac…
What are the 3 financial statements us…
1. Balance Sheet... 2. Cash Flow Statement... 3. Income Statement... 4…
Balance Sheet
→ snapshot of company's economic resources and funding for th…
35 terms
Accounting 101 Chapter 5
Contra- Revenue Account
Cost of Goods Sold
FOB Destination
FOB Shipping Point
An account that is offset against a revenue account on the in…
The total cost of merchandise sold during the period
Freight terms indicating that the seller places the goods fre…
Freight terms indicating that the seller places goods free on…
Contra- Revenue Account
An account that is offset against a revenue account on the in…
Cost of Goods Sold
The total cost of merchandise sold during the period
5 terms
accounting 101
Analyze Transactions
Journalize
Post
Prepare a Trial Balance
The first step in the accounting process is to analyze every…
The journalizing process starts when a business transaction o…
Accounts show a running balance of each account . a long, stu…
Trial Balance is a list of closing balances of ledger account…
Analyze Transactions
The first step in the accounting process is to analyze every…
Journalize
The journalizing process starts when a business transaction o…
44 terms
Accounting 101
asset
stockholders' equity
gross profit
owners' equity
things that are resources owned by a company nd which have fu…
represents equity stake currently held on the books by a firm…
sales - cost of goods
represents owners investment in the business minus the owners…
asset
things that are resources owned by a company nd which have fu…
stockholders' equity
represents equity stake currently held on the books by a firm…
26 terms
Accounting101
General Journal
Compound entry
General Ledger
Chart of accounts
Book of original entry
When three or more accounts are required.
Reference book of the accounting sustem and is used to classi…
A list of all the accounts and their account numbers in the l…
General Journal
Book of original entry
Compound entry
When three or more accounts are required.
Accounting 101
Balance Sheet
Income Statement
Statement of Stockholders Equity
Statement of Cash Flows
Reports the amount of assets, liabilities and stockholders eq…
Reports the revenues minus the expense of the accounting period
reports the changes in each of the company's stockholders equ…
...
Balance Sheet
Reports the amount of assets, liabilities and stockholders eq…
Income Statement
Reports the revenues minus the expense of the accounting period
ACCOUNTING 101
ENTITY CONCEPT
ACCOUNTING PERIOD
OPERATING CYCLE
TRANSACTIONS
Entity concept: the entity concept states that an entity is s…
Accounting period: businesses operate over a long period of t…
Operating cycle: the operating activities of a business make…
Transactions: a transaction is an exchange of a product or se…
ENTITY CONCEPT
Entity concept: the entity concept states that an entity is s…
ACCOUNTING PERIOD
Accounting period: businesses operate over a long period of t…
29 terms
Accounting 101
Debit
Footing
Expense
Slide
Entry on the left side of an account.
The sum of a column in a T account.
Outflow of cash, using up assets or incurring liabilities.
An accounting error involved in a misplaced decimal.
Debit
Entry on the left side of an account.
Footing
The sum of a column in a T account.
14 terms
Accounting 101
Financial statements
Balance sheet
Assets
Liabilities
Reports that summarize financial data over a period of time…
Reports a business's assets, liabilities, and capital on a sp…
Anything of value owned... Examples... Cash... Accounts Receivable... Inv…
Claims against assets... Debts owed to others... Examples... Accounts…
Financial statements
Reports that summarize financial data over a period of time…
Balance sheet
Reports a business's assets, liabilities, and capital on a sp…
1 of 10