Items that are owned by a business and will provide future benefits. Examples: Cash, merchandise, furniture, fixtures, machinery, building s, and land.
What is Assets
100
An economic event that has a direct impact on the business. Must be able to measure the exchange in dollars
What is a Business Transaction
100
Reports assets, liabilities, and owner's equity on a specific date.
What is Balance Sheet
100
Entering the transactions in a journal.
What is Journalizing
100
An amount on the left side of an account.
What is Debit
200
Something owed to another business entity. Debts or obligations of the business that can be paid with cash, goods or services.
What is Liabilities
200
The description of the particular type of asset, liability, or owner’s equity affected by the transaction.
What is an Account Title
200
Reports the profitability of business operations for a specific period of time.
What is Income Statement
200
Any document that provides information about a business transaction.
What is Source Document
200
An amount on the right side of an account.
What is Credit
300
The amount a business charges customer for products sold or services performed.
What is Revenues
300
A separate record used to summarize changes in each asset, liability, and owner’s equity of a business.
What is an Account
300
Reports beginning capital plus net income less withdrawals to compute ending capital.
What is Statement of Owner's Equity
300
A list of all accounts used by a business.
What is Chart of Accounts
300
The difference between the debits and credits
What is Balance
400
The decrease in funds as a result of efforts to produce revenues.
What is Expenses
400
Business Transaction affects how many accounts?
What is two
400
A day-by-day listing of transactions of a business.
What is a journal
400
An error that occurs when two digits are reversed.
What is Transposition Error
400
Any accounting period of 12 months duration.
What is Fiscal Year
500
Another term for owner's equity, the amount by which the business assets exceeds the business liabilities.
What is Capital
500
Assets = Liabilities + Owner’s Equity
What is Accounting Equation
500
A complete set of accounts used by a business.
What is General Ledger
500
A list used to prove that the totals of the debit and credit balances in the ledger accounts are equal.
What is Trial Balance
500
A measure of the ease with which an asset will be converted to cash.