Chapter 1
What is accounting
Accounting is the process of planning, recording, analyzing, and interpreting financial information.
What is credit
An amount recorded on the right side of an account.
What is a entry?
Information for each transaction recorded in a journal.
Debit or credit cash
Debit
Transactions on accounts
In this transaction, one asset and one liability are changed. The asset account, Supplies, is increased by $220.00, the amount of supplies bought. A person or business to whom a liability is owed is called a creditor. D
true or false
Cash is increased with a debit.
True
What is a journal?
A form for recording transactions in chronological order.
Debit or credit card
Credit
The name given to an account
Account title
The left side of a T account is the (A) debit side. (B) credit side
(A) debit side
What is a source document?
A business paper from which information is obtained for a journal entry.
Debit or credit funds
Debit
Financial rights to the assets of a business
equities
The normal balance side of a liability account is the (A) debit side. (B) credit side.
(B)credit side
Double entry- accounting
The recording of debit and credit parts of a transaction.
Credit
The use of ethics in making business decisions
business ethics.
The normal balance side of any revenue account is the (A) debit side. (B) credit side.
(B) credit side.
What is a check?
A business form ordering a bank to pay cash from a bank account.
Debit or credit own money in person
Debit