Accounting Equation
Money owed to creditors
Liabilities
Financial Document that only records transactions involving currencies
Cash Flow Statement
Use a consistent currency to record financial information (USD)
Monetary Unit Assumption
Natural balance of a dividend
Debit
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Peregrine Flacon (200 mph)
What is prepaid rent recorded as?
Asset
Financial Document representing all company assets and their claims in a snapshot in time
Balance Sheet
All relevant information regarding a companies finance must be made known to the public
What does GAAP stand for?
Generally Accepted Accounting Principles
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Taiwan
A share of earnings paid out to stockholders
Dividend
Record that tracks the activities of a specific asset, liability, or equity
Account
We record revenue when service is provided to the customer and payment is expected
Revenue Recognition Principle
Exchange of value that affects at least two accounts in the balance sheet
Transaction
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Greenland
Money owed by customers to a corporation that has not been paid for yet
Recievables (AR)
Accounting booklet where monetary transactions are recorded in the forms of debits and credits
Ledger
Value of items are identified by the price purchased, not market value
Cost Principle
Decrease in value of a fixed asset
Depreciation
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"Gangnam Style"
Account where expenses, revenue, and dividends get filed into at the end of the period
Retained Earnings
An account that is closed at the end of every month/period
Temporary Account
Business is financially healthy and in operation
Going Concern Assumption
What does FASB stand for?
Financial Accounting Standards board
Technical name of the "Hashtag" symbol
Octothorpe