Study sets matching "term:accounting = the systematic process of recording and reporting the financial position of a person or an organization"

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Study sets matching "term:accounting = the systematic process of recording and reporting the financial position of a person or an organization"

17 terms
Accounting Chapter 3: The Financial Reporting Process
Accrual-basis accounting
Accrued expense
Accrued revenue
Adjusted trial balance
Record revenues when earned (the revenue recognition principl…
When a company has incurred an expense but hasn't yet paid ca…
When a company has earned revenue but hasn't yet received cas…
A list of all accounts and their balances after we have updat…
Accrual-basis accounting
Record revenues when earned (the revenue recognition principl…
Accrued expense
When a company has incurred an expense but hasn't yet paid ca…
8 terms
Financial Accounting Chapter 4
Adjusted Trial Balance
Adjusting Journal Entries
Carrying Value (Net Book Value, Book V…
Contra-Account
A list of all accounts and their adjusted balances to check o…
Entries necessary at the end of each accounting period to rep…
The amount at which an asset or liability is reported after d…
An account that is an offset to, or reduction of, another acc…
Adjusted Trial Balance
A list of all accounts and their adjusted balances to check o…
Adjusting Journal Entries
Entries necessary at the end of each accounting period to rep…
19 terms
12e Financial Accounting - Chapter 3 - The Adjusting Process
accounting period concept
accrual basis of accounting
accrued expenses
accrued revenues
The accounting concept that assumes that the economic life of…
Under this basis of accounting, revenues and expenses are rep…
Expenses that have been incurred but not recorded in the acco…
Revenues that have been earned but not recorded in the accoun…
accounting period concept
The accounting concept that assumes that the economic life of…
accrual basis of accounting
Under this basis of accounting, revenues and expenses are rep…
Accounting Chapter 3 & 4: The Financial Reporting Process
Accrual-basis accounting
Accrued expense
Accrued revenue
Adjusted trial balance
Record revenues when earned (the revenue recognition principl…
When a company has incurred an expense but hasn't yet paid ca…
When a company has earned revenue but hasn't yet received cas…
A list of all accounts and their balances after we have updat…
Accrual-basis accounting
Record revenues when earned (the revenue recognition principl…
Accrued expense
When a company has incurred an expense but hasn't yet paid ca…
11 terms
The Accounting Equation
Accounting
Accounting System
Accounting Records
Service business
Planning, recording, analyzing, and interpreting financial in…
A planned process for providing financial information that wi…
Organized summaries of a business's financial activities
A business that performs an activity for a fee
Accounting
Planning, recording, analyzing, and interpreting financial in…
Accounting System
A planned process for providing financial information that wi…
92 terms
Financial Accounting Chapter 7
Accelerated depreciation method
Accumulated depreciation
Activity-based method
Addition
Allocates a higher depreciation in the earlier years of the a…
A contra asset account representing the total depreciation ta…
Allocates an asset's cost based on its use
Occurs when a new major component is added to an existing asset
Accelerated depreciation method
Allocates a higher depreciation in the earlier years of the a…
Accumulated depreciation
A contra asset account representing the total depreciation ta…
Accounting
Accounting
Accounting system
Accounting records
Financial statements
Planning, recording, analyzing and interpreting financial inf…
A planned process for providing financial information that wi…
Organized summaries of a business's financial activities.
Financial reports that summarize the financial condition and…
Accounting
Planning, recording, analyzing and interpreting financial inf…
Accounting system
A planned process for providing financial information that wi…
38 terms
Financial Accounting and Reporting Chapter 1
Stockholder
Creditor
Interest
Dividends
an owner of shares in a company
a person or company to whom money is owed. Creditors make mon…
A fee that is charged by a lender to a borrower for the right…
a distribution of a portion of a company's earnings to a clas…
Stockholder
an owner of shares in a company
Creditor
a person or company to whom money is owed. Creditors make mon…
22 terms
Accounting
Accounting
Accounting system
Accounting records
Financial statements
Planning, recording, analyzing and interpreting financial inf…
A planned process for providing financial information that wi…
Organized summaries of a business's financial activities.
Financial reports that summarize the financial condition and…
Accounting
Planning, recording, analyzing and interpreting financial inf…
Accounting system
A planned process for providing financial information that wi…
24 terms
Accounting: Chapter 2 (Measuring and Reporting Financial Position)
Three Major Types of Financial Stateme…
Statement of Cash Flows
Income Statement
Statement of Financial Position
Statement of Cash Flows... Income Statement ... Statement of Financ…
shows cash movements over a particular period
shows wealth (profit) generated over a particular period
shows the accumulated wealth at a particular point in time
Three Major Types of Financial Stateme…
Statement of Cash Flows... Income Statement ... Statement of Financ…
Statement of Cash Flows
shows cash movements over a particular period
60 terms
Financial Accounting Terms
Unearned Revenue
Trial Balance
Temporary (nominal) Accounts
T Account
Items that have been initially recorded as liabilities but ar…
A summary listing of the titles and balances of accounts in t…
Accounts that report amounts for only one period.
The simplest form of an account.
Unearned Revenue
Items that have been initially recorded as liabilities but ar…
Trial Balance
A summary listing of the titles and balances of accounts in t…
10 terms
Text - Chapter 20: Accounting and Financial Reporting
accounts payable
accounts receivable
accrual basis
cash basis
The amount a business owes to creditors.
The amount customers owe a business.
An accounting system in which income is recorded when it is e…
An accounting system in which income is recorded when it is r…
accounts payable
The amount a business owes to creditors.
accounts receivable
The amount customers owe a business.
17 terms
Accounting Chapter 3: The Financial Reporting Process
Accrual-basis accounting
Accrued expense
Accrued revenue
Adjusted trial balance
Record revenues when earned (the revenue recognition principl…
When a company has incurred an expense but hasn't yet paid ca…
When a company has earned revenue but hasn't yet received cas…
A list of all accounts and their balances after we have updat…
Accrual-basis accounting
Record revenues when earned (the revenue recognition principl…
Accrued expense
When a company has incurred an expense but hasn't yet paid ca…
13 terms
Financial Accounting Chapter 5
Bank Reconciliation
Cash Basis Accounting
Cash Equivalents
Fraud
Process of using both the bank statement and the cash account…
Recording revenues when dash is received and expenses when ca…
Short-term, highly liquid investments purchased within three…
An attempt to deceive others for personal gain.
Bank Reconciliation
Process of using both the bank statement and the cash account…
Cash Basis Accounting
Recording revenues when dash is received and expenses when ca…
88 terms
Principles of Financial Accounting Exam 3
accounts receivable
Accounts Receivable turnover ratio
Accrued interest
Adjusting Entry
expected future cash receipts arising from permitting custome…
Financial ratio that measures how fast accounts are collected…
Interest revenue or expense that is recognized before cash ha…
entry that updates account balances prior to preparing financ…
accounts receivable
expected future cash receipts arising from permitting custome…
Accounts Receivable turnover ratio
Financial ratio that measures how fast accounts are collected…
Financial Accounting & Reporting 101
External transactions
Internal transactions (production and…
Measuring
Other assets
What are those transactions economic events involving one ent…
These are economic events involving the entity only.
This accounting process involves the accountable economic tra…
Advances to employees is under what line item in the balance…
External transactions
What are those transactions economic events involving one ent…
Internal transactions (production and…
These are economic events involving the entity only.
26 terms
Financial Accounting Chapter 9
Amortization of Intangible Assets
Book (or Carrying) Value
Capitalize
Copyright
The systematic and rational allocation of the cost of an inta…
The amount at which an asset or liability is reported after d…
To record a cost as an asset rather than an expense.
A form of protection provided to the original authors of lite…
Amortization of Intangible Assets
The systematic and rational allocation of the cost of an inta…
Book (or Carrying) Value
The amount at which an asset or liability is reported after d…
12 terms
Financial Accounting Chapter 1
Accounting
Balance Sheet (Statement of Financial…
Balance Sheet Equation
Financial Statements
A system of analyzing, recording, and summarizing the results…
Reports the amount of assets, liabilities, and stockholders'…
Assets = Liabilities + Stockholders' Equity
Reports that summarize the financial results of business acti…
Accounting
A system of analyzing, recording, and summarizing the results…
Balance Sheet (Statement of Financial…
Reports the amount of assets, liabilities, and stockholders'…
Accounting Chapter 1 Terms
Accounting
Accounting System
Financial Statements
Net Worth Statement
The process of planning, recording, analyzing, and interpreti…
A planned process designed to compile financial data and summ…
Financial reports that summarize the financial condition and…
A document that allows the person extending the loan to see t…
Accounting
The process of planning, recording, analyzing, and interpreti…
Accounting System
A planned process designed to compile financial data and summ…
22 terms
Financial Accounting and Reporting
Accounting as an Information System: 4…
Identifying Information
Recording Financial Data
Analyzing the Ouput
1. Information Identification... 2. Information Recording... 3. Inf…
What information do we need? Where is it to be found? How do…
Resulting from monetary transactions e.g Sales, invoices and…
Interpreting and translating the other pictures of the busine…
Accounting as an Information System: 4…
1. Information Identification... 2. Information Recording... 3. Inf…
Identifying Information
What information do we need? Where is it to be found? How do…
16 terms
FR1 - Ch.2 - Review of the Accounting Process
what is the expanded accounting equati…
when talking about the expanded accoun…
when talking about the expanded accoun…
what are examples of permanent accounts?
Assets + Expenses + Losses + Dividends = Liabilities + Contri…
left
right
assets, liabilities, paid-in capital, and retained earnings
what is the expanded accounting equati…
Assets + Expenses + Losses + Dividends = Liabilities + Contri…
when talking about the expanded accoun…
left
Chapter 20: Accounting and Financial Reporting
GAAP
Financial Reports
Accounting Period
Calendar Year
generally accepted accounting principles established to allow…
a statement that summarizes the results of a business operati…
a block of time, such as a month, a quarter, or a year, cover…
the accounting period of time from January 1 to December 31
GAAP
generally accepted accounting principles established to allow…
Financial Reports
a statement that summarizes the results of a business operati…
52 terms
Financial Accounting & Reporting Test 1 (CH1-5)
Accounting
Accounting Entity
Accounting Period
Audit
A system that collects and processes (analyzes, measures, and…
The organization for which financial data are to be collected.
The time period covered by the financial statements.
An examination of the financial reports to ensure that they r…
Accounting
A system that collects and processes (analyzes, measures, and…
Accounting Entity
The organization for which financial data are to be collected.
64 terms
Review of the Accounting Process
The Basic Model
Economic Events
External Events
Internal Events
- The accounting equation ... - Account relationships
any event that directly affects the financial position of the…
exchange between the company and a separate economic entity
events that directly affect the financial position of the com…
The Basic Model
- The accounting equation ... - Account relationships
Economic Events
any event that directly affects the financial position of the…
10 terms
Topic 1.02 - The concept of accounting
accountant
accounting
accounting cycle
accounting system
A person who plans, summarizes, analyzes, and interprets acco…
Planning, recording, analyzing, and interpreting financial in…
The series of accounting activities included in recording fin…
Methods and procedures used in handling the business's financ…
accountant
A person who plans, summarizes, analyzes, and interprets acco…
accounting
Planning, recording, analyzing, and interpreting financial in…
25 terms
Chapter 20: Accounting and Financial Reporting
GAAP
Financial reports
Accounting period
Calendar year
Generally accepted accounting principles established to allow…
A statement or document that summarizes the results of a busi…
A block of time, such as a month, a quarter, or a year, cover…
The accounting period of time from January 1 to December 31
GAAP
Generally accepted accounting principles established to allow…
Financial reports
A statement or document that summarizes the results of a busi…
32 terms
Chapter 20: Accounting and Financial Reporting
Financial reports (statements)
1. The business will operate as a sepa…
accounting period
calendar year
documents that summarize the results of your business operati…
2 accounting assumptions
a block of time covered by an accounting report
January 1st until December 31st
Financial reports (statements)
documents that summarize the results of your business operati…
1. The business will operate as a sepa…
2 accounting assumptions
18 terms
Financial Accounting Chapter 3
Accounting Period Concept
Accrual Basis of Accounting
Revenue Recognition Concept
Matching Concept
assumes that the economic life of a business can be divided i…
revenues and expenses are reported in the income statement in…
supports reporting revenues when the service is provided to c…
expenses are matched with the revenue generated during a peri…
Accounting Period Concept
assumes that the economic life of a business can be divided i…
Accrual Basis of Accounting
revenues and expenses are reported in the income statement in…
12 terms
Financial Accounting Chapter 4
Adjusted Trial Balance
Adjusting Journal Entries
Carrying Value, Net Book Value, Book V…
Contra-Account
A list of all accounts and their adjusted balances to check o…
Entries necessary at the end of each accounting period to rep…
The amount at which an asset or liability is reported after d…
An account that is an offset to, or reduction of, another acc…
Adjusted Trial Balance
A list of all accounts and their adjusted balances to check o…
Adjusting Journal Entries
Entries necessary at the end of each accounting period to rep…
CHAPTER 2-THE WORLD OF BUSINESS AND ACCOUNTING
free enterprise system
profit
loss
entrepreneur
A system in which individuals are free to produce the goods a…
The amount earned above the amount of expense incurred to kee…
The result when a business spends more money than it earns.
A person who transforms ideas for products or services into r…
free enterprise system
A system in which individuals are free to produce the goods a…
profit
The amount earned above the amount of expense incurred to kee…
financial reporting and accounting
information
accounting
accountants
2 elements of accounting systems
decisions based on... good decisions based on having the right i…
the function devised to provide decision makers with the fina…
people who work within the accounting department (function) a…
1. processes used to account for the transactions... 2. the rule…
information
decisions based on... good decisions based on having the right i…
accounting
the function devised to provide decision makers with the fina…
Chapter 2 Review of the Accounting Process
Economic Events
external events
internal events
Accounting Equation
causes changes in the financial position of the company
involve an exchange transaction with another entity
do not involve an exchange transaction with another entity
Assets = Liabilities + Owners' Equity
Economic Events
causes changes in the financial position of the company
external events
involve an exchange transaction with another entity
26 terms
The Position of an Accountant
Accountants and Auditors typically do…
In addition to examining and preparing…
The following are examples of types of…
Public Accountants
• Examine financial statements to ensure that they are accura…
accountants and auditors must explain their findings. ~This i…
1) Public accountants... 2) Management accountants... 3) Government…
perform a broad range of accounting, auditing, tax, and consu…
Accountants and Auditors typically do…
• Examine financial statements to ensure that they are accura…
In addition to examining and preparing…
accountants and auditors must explain their findings. ~This i…
27 terms
Chapter 1 - Financial Accounting and Accounting Standards
Accounting Principles Board (APB)
Accounting Research Bulletins
accrual-basis accounting
American Institute of Certified Public…
founded by the AICPA; objectives were to 1) advance the writt…
articles issued by the Committee on Accounting Procedure (CAP…
accounting basis required by GAAP; requires companies to reco…
the national organization of the certified public accountant…
Accounting Principles Board (APB)
founded by the AICPA; objectives were to 1) advance the writt…
Accounting Research Bulletins
articles issued by the Committee on Accounting Procedure (CAP…
14 terms
Glencoe accounting Ch2 Vocab
Accounting period
Accounting system
Business entity
Charter
A period of time covered by an acoounting report
A systematic process of recording and reporting the financial…
Exists independently of its owners personal items
A legal written permission that gives a corporation certain r…
Accounting period
A period of time covered by an acoounting report
Accounting system
A systematic process of recording and reporting the financial…
87 terms
Chapter 3: Basics of financial accounting
account
accounting cycle
accounting information system
accrued expenses
systematic arrangement. effects of events on a specific asset…
steps to record transactions and make financial statements
collects and processes transactions data and sends informatio…
expenses incurred but not yet paid or recorded
account
systematic arrangement. effects of events on a specific asset…
accounting cycle
steps to record transactions and make financial statements
17 terms
Chapter 2:The World of Business and Accounting
Accounting Period
Accounting System
Business Entity
Capital
The time period covered by an accounting report
Concerned with the process of recording and reporting financi…
Exists independently of its owner's personal holdings
Money invested in a business by an owner
Accounting Period
The time period covered by an accounting report
Accounting System
Concerned with the process of recording and reporting financi…
134 terms
Financial Accounting Exam 1
net assets
enterprise resource planning systems (…
posting reference
accounting
Another term for owner's equity. Assets minus liabilities.
...
Fourth column of general journal, contains identifying number…
The process of identifying, recording, and summarizing econom…
net assets
Another term for owner's equity. Assets minus liabilities.
enterprise resource planning systems (…
...
27 terms
Chapter 20: Accounting and Financial Reporting
GAAP
Financial Records
Accounting Period
Calendar Year
Generally Accepted Accounting Principles
statements are documents that summarize the results of your b…
a block of time covered by an accounting report
Jan 1- Dec 31
GAAP
Generally Accepted Accounting Principles
Financial Records
statements are documents that summarize the results of your b…
Acc-Balance of Financial Position
Main users of financial information re…
Qualities of an accounting report
Materiality
Accounting information system
Owners... Customers... Competitors... Employees and their representati…
-Fundamental (necessary)... -Relevance... Predictive Value... Materia…
If information will affect the decision of the user, then the…
Information identification... Information recording... Information…
Main users of financial information re…
Owners... Customers... Competitors... Employees and their representati…
Qualities of an accounting report
-Fundamental (necessary)... -Relevance... Predictive Value... Materia…
13 terms
Financial Accounting - Basic Terms
Account
Chart of Accounts
Journal
Ledger
A record in an accounting system that records and stores the…
A list of all ledger accounts and includes an identification…
A complete record of each transaction in one place.
A record containing all accounts used by a... company and their…
Account
A record in an accounting system that records and stores the…
Chart of Accounts
A list of all ledger accounts and includes an identification…
27 terms
Chapter 20: Accounting and Financial Reporting
GAAP
Financial Reports
Accounting Period
Calendar Year
Generally accepted accounting principles established to allow…
Statements or documents that summarize the results of a busin…
A block of time, such as a month, a quarter, or a year, cover…
The accounting period of time from January 1 to December 31
GAAP
Generally accepted accounting principles established to allow…
Financial Reports
Statements or documents that summarize the results of a busin…
Financial Accounting Chapter 1
Accounting
Accounting equation
Assets
Auditors
A system of maintaining records of a ... company's operations a…
Equation that shows a company's resources (assets) equal cred…
Resources owned by a company.
Trained individuals hired by a company as an ... independent pa…
Accounting
A system of maintaining records of a ... company's operations a…
Accounting equation
Equation that shows a company's resources (assets) equal cred…
27 terms
Chapter 20 Accounting and Financial Reporting
GAAP
Financial Reports
Accounting Period
Calendar Year
stands for the "generally accepted accounting principles" whi…
documents that summarize the results of your business operati…
block of time covered by an accounting report
a one-year period of time
GAAP
stands for the "generally accepted accounting principles" whi…
Financial Reports
documents that summarize the results of your business operati…
32 terms
The Accounting Industry Vocabulary
Accounting
Bookkeeping
Manual Accounting System
Computer Accounting System
process of retrieving, recording, storing and summarizing fin…
process of recording daily business transactions; only one pa…
maintaining accounting records by hand
maintaining accounting records with the help of computer soft…
Accounting
process of retrieving, recording, storing and summarizing fin…
Bookkeeping
process of recording daily business transactions; only one pa…
67 terms
Financial Accounting 201
Account
Accounting
Accounting Period
Accounting Process
A standardized format that organizations use to accumulate th…
A system of analyzing, recording, and summarizing the results…
The time period covered by the financial statements.
The process used by businesses to analyze, record, and summar…
Account
A standardized format that organizations use to accumulate th…
Accounting
A system of analyzing, recording, and summarizing the results…
Entrepreneurship Quizlet
Financial plan
assets
accounting
Financial Manager
outline of your expenses, needs, goals, and how you expect to…
any property or item of value that your business owns
systematic process of recording and reporting the financial p…
person in charge of a business's financial planning, funding…
Financial plan
outline of your expenses, needs, goals, and how you expect to…
assets
any property or item of value that your business owns
Chapter 20: Accounting and Financial Reporting
GAAP
Financial Reports
Accounting Period
Calendar Year
Generally accepted accounting principles
Statements are documents that summarize the results of your b…
Can be a month or a quarter( 3 months), but the most common p…
Begins January 1 and ends December 31
GAAP
Generally accepted accounting principles
Financial Reports
Statements are documents that summarize the results of your b…
44 terms
Intermediate Accounting: Chapter 2 - Review of the Accounting Process
Economic Events
External Events
Accounting Equation
Transactions
Any event that directly affects the financial position of the…
Exchange between the company and a separate economic entity
The process used to capture the effect of economic events: As…
Economic Events
Economic Events
Any event that directly affects the financial position of the…
External Events
Exchange between the company and a separate economic entity
57 terms
Chapter 12: The Role of Accounting in Business
Stakeholders
Accounting
Management Accounting
Financial Accounting
Parties who are interested in the activities of a business be…
System for measuring and summarizing business activities, int…
Branch of accounting that provides information and analysis t…
Branch of accounting that furnishes information to individual…
Stakeholders
Parties who are interested in the activities of a business be…
Accounting
System for measuring and summarizing business activities, int…
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