Account Types
Checking Account
What is the name of a(n) Asset account?
Used to pay bills.
What is a checking account?
Debited when you pay employees.
What is the payroll account?
Report showing your profit.
What is an income statement?
Credit Cards Payable
What is the name of a(n) liability account?
Keeps track of money invested in your company.
What is the capital account?
Credited when you sell merchandise.
What is the inventory account?
Assets = Liabilities + Capital
What is the accounting equation?
Electric Bill
What is the name of a(n) expense account?
Used to keep track of bills you have to pay?
What is accounts payable?
Credited when investing in a company?
What is the capital account?
Assets - Liabilities = Capital
What shows the Net profit on a balance sheet?
Services
What is the name of a(n) revenue account?
Used to keep track of what customers owe you.
What is accounts receivables?
Debited when you receive money from a customer.
What is the checking or cash account?
Revenue - COGS - Expenses
What is the equation that shows a company's profit?
Notes Receivable
What is the name of a(n) asset account?
Debited when you sell merchandise.
What are COGS?
Debited when a customer owes you money.
What is account receivables?
Revenue - COGS - Expenses - Taxes Paid
What are retained earnings