Accounting Terms
A report on the revenues and expenses over a period of time
What is the Income Statement?
Examples are: Cash, A/R, Vehicles, or Kitchen Equipment
What is an asset?
The money generated from normal business operations
What is Revenue?
Legal obligations that a company has to others at a given point in time. Examples include Accounts Payable (A/R), Loans from a bank, or wages payable to employees.
What are Liabilities?
A statement of what a company has and what it owes.
What is the Balance Sheet?
The net worth of a company or business. Assets minus liabilities.
What is Equity?
This statement identifies where cash comes from and where cash goes.
What is the Statement of Cash Flows?
What is the Journal or Journal Sheets?
The operational cost that is paid to earn business revenues. It means the outflow of cash in return for goods or services.
This results when expenses are subtracted from revenue.
What is Profit or Operating Income?