equations
What is the basic accounting equation
Assets = Liabilities + Equity
Define ledger
a book in which a company or organization writes down the amounts of money it spends and receives
What is a general journal
record of all financial transactions of a business
what is the basic Income statement equation
Revenue - Expenses = Net Income
Define liabilities
financial obligations a business or individual owes to others
Define source documents
the original records that serve as evidence and detail for financial transactions
What side is the debit side
Define net loss
when expenses exceed the income or total revenue produced for a given period of time
What does GAAP stands for
generally accepted accounting principles
what side is the credit side
the right side
Define accounts receivable
money owed to a company by its debtors.
the parts of a balance sheet and income statement
liabilities,owners equity and assets
does credit decrease or increase
decrease
Define revenue
An increase in equity resulting from the sale of goods or services
examples of source documents
invoices and receipts