Accounting Vocabulary
This amount is recorded on the left side?
What is debit.
This line on the balance sheet refers to money owed by a company
What is Accounts Payable?
These 3 are found on the balance sheet.
What are 1) assets, 2) liabilities 3) owner's equity?
Business transactions are first recorded in the
What is the journal?
This is the side of the account that is increased is called?
What is normal balance.
These are items owned by the business (land, supplies, equipment).
What are assets?
A bank loan would be listed under this category on the balance sheet.
What is the liabilities section?
A group of accounts and their balances
What is a ledger?
A list of of accounts used by a business is called?
what is charts of account.
The purchase of supplies for cash would affect this account category
What are assets?
This financial statement shows the changes in capital during the accounting period
What is the statement of owner's equity?
Revenue is recognized in the accounting records when
What is services are rendered?
A journal with two amount columns in which all kinds of entries can be recorded in is called?
what is a general journal.
This is the difference between total assets and total liabilities.
What is Owner's Equity?
This process begins with recording transactions and ends with the completion of the financial statements
What is the accounting cycle?
An endorsement indicates a new owner of a check is called?
What is Special endorsements.
A credit to an asset account that was posted to a liability account by mistake would cause
What is overstated liabilities and overstated assets ?
This represents the usual length of a fiscal period.
What is one year?