The result of having bank statement and check register agree
What is a bank reconciliation?
100
Money that a company has a right to receive because it had provided customers with goods and/or services.
What is Accounts Receivable?
100
An monetary obligation that is due within one year.
What is a current liability?
100
Amounts a company earned and recorded from the sales of its products/services
What are gross sales?
100
Assets = Liabilities + Equity
What is the accounting equation?
200
Checks that have been written, but have not yet cleared the bank account.
What are outstanding checks?
200
Accounts Receivable that have been deemed to be not collectible and have been removed from the receivable account in the general ledger.
What is bad debt?
200
A person or business that supplies goods or services to a company.
What is a vendor?
200
Costs associated with a company's main operating activities and which are reported on its income statement.
What are operating expenses?
200
The financial activity of a business?
What are transactions?
300
This type of memo is an item on a company's bank statement that increases a company's checking account balance.
What is a credit memo?
300
A deduction allowed by the seller in order to motivate the customer to pay within a specified time.
What is a cash discount?
300
Offered by some companies to motivate credit customers to pay sooner.
What is an early payment discount?
300
This method of accounting reports revenues and expenses when they are earned and incurred, regardless of cash receipt or payment.
What is the accrual method?
300
They are a key part of the double entry system, which means that every business transaction will affect a minimum of two accounts.
What are debits and credits?
400
A bank account in which a company deposits money and can subsequently withdraw the money by writing a check, by using a debit card, arranging for electronic transfers, etc.
What is a checking account?
400
In relation to Accts Receivable, this is issued by a seller in order to reduce the amount that a customer owes on their account.
What is a credit memo?
400
Bank, supplier or person that has provided credit to a company.
What is a creditor?
400
Revenue minus cost of goods sold.
What is gross profit?
.
400
The action that makes a check negotiable?
What is bank endorsement?
500
Term used to describe a check that has been returned by the bank on which it was drawn because the checking account balance was less than the amount of the check.
What is "Not Sufficient Funds"?
500
Amounts that are earned as the result of selling merchandise or performing services.
What is revenue?
500
Legal document filed by a creditor in order to record its claim on the debtor's property.
What is a Lien?
500
SG&A, the acronym for the expenses incurred to promote, sell and deliver a company's product/service, and to manage the overall company.
What is Selling, General and Administrative?
500
This person in this clip helps business owners work smarter, not harder.