Terminology 1
Account that accumulates information across an accounting period; all accounts reported on the balance sheet is called a ___ ____
Permanent Account
A depreciation method that uses double the straight-line rate and the book value of the asset is called ____________________
Double-decline depreciation
The process of giving zero balances to the temporary accounts so that they can accumulate information for the next accounting period is called the _______________
Closing Process
The period of time required to purchase supplies and services, and convert them back into cash is called the _______________
Operating Cycle
Property, plant, and equipment are called ______ Assets
Plant
. A depreciation method that recognizes an equal amount of depreciation each year is called the ____________________
Straight-line depreciation Method
Cash and assets that will be converted into cash or consumed within either one year or the normal operating cycle of the business, whichever is longer is called ____ _____
Current Assets
The expected market value of an asset at the end of its useful life is called the _______________
Salvage Value
Prepared after posting the closing entries to prove the equality of the debit and credit Balance in the general ledger accounts is called a _________ _____ ______
Post-closing Trial Balance
A balance sheet in which the assets are on the left side and liabilities and owner's equity s sections are on the right section
Account form of balance sheet
Liabilities that are due within either one year or the normal operating cycle of the business, whichever is longer, and paid out of current assets is called_____________
Current Liabilities
A form used to pull together all the information needed to prepare financial statements. It includes information for trial balance, adjustments adjusted trial balance, income statement & balance sheet is called a _________
Worksheet
Assets that are expected to serve the business for many years are the following___, ____, and _____
Property, Plant, and Equipment
The steps involved in accounting for all of the business activities during an accounting period is called the _____________
Accounting Cycle
A temporary account used in the closing process to summarize the effects of all revenue and expense account is called a ________________
Income Summary
The difference between the asset account and its related accumulated depreciation account. The value reflected by the accounting records is called the _________
Book Value
A balance sheet in which the liabilities and the owner's equity sections are shown below the assets section is called a ____ ___ _ _____ ___
Report Form of Balance Sheet
A balance sheet with separate groups for current assets; property, plant, and equipment; current liabilities; and long term liabilities is called a________________
Classified Balance Sheet
Long-term liabilities are also referred to as ____________________
Long-term Debts
A 12- month period for which financial reports are prepared is called the ______ _______
Fiscal Year