Account
Classifications
Classifications
Anything of Value that is owned.
What is an Asset?
This is a permanent account with a normal debit balance.
What is an asset?
The financial statement that reports revenue and expenses.
What is the Income Statement?
This account is debited when I buy pens, pencils, and paper to use in my business.
What is Office Supplies?
Accounts that are closed are generally referred to as this type of account?
What are Temporary Accounts?
An amount owed by a business.
What is a liability?
This is a temporary account with a normal credit balance.
What is a revenue?
This financial statement includes all of the accounts in the accounting equation.
What is the Balance Sheet?
This is credited when I buy merchandise on account.
What is Accounts Payable?
Name three accounts that would be closed at the end of an accounting period.
What are Sales, Rent Expense, and Utilities expense?
This is an account used to summarize Owner's Equity in a business.
What is Capital?
This is an account on the right side of the accounting equation with a normal debit balance.
What is an expense?
The first three lines of a financial statement.
What is a heading?
I credit this account when I sell merchandise for cash.
What is sales?
This is the title of the special account that is used during the closing process.
What is Income Summary?
An Increase in Owner's Equity resulting from the operation of business.
What is Revenue?
A type of account with a normal balance that is the opposite of a related account.
What is a Contra Account?
DAILY DOUBLE
(PLACE A WAGER)
This document needs to be completed BEFORE the financial statements because it has most of the information needed to complete them.
I debit this account when I purchase merchandise that will be sold in my store.
What is Purchases?
These are accounts that are listed on a ost-closing trial balance.
What are Assets, Liabilities, and Owner's Equity or permanent accounts?
This is a temporary account with a normal debit balance.
What is an expense?
This is an Owner's Equity account with a normal debit balance?
What is Drawing?
This statement records the accounts with ending balances after adjusting and closing entries.
What is a Post-Closing Trial Balance?
This account is debited when I record annual depreciation for store equipment.
What is Depreciation Expense--Store Equipment?
This is the series of accounting activities included in recording financial information for a fiscal period.
What is the accounting cycle?