Accounting terms
What is a Small Business Administration (SBA)
A United States government agency dedicated to supporting small businesses
what is a ledger
a book or digital record that stores bookkeeping entries, summarizing a company's financial transactions
What side is the debit side?
The left
Examples of a source document
checks and receipts
What is revenue
the total amount of money a company earns from its sales and other operations during a specific period
what is notes payable
a company's formal written agreement to repay a borrowed amount, typically with interest, over a specified period
What is normal debit balance
Side of the account where increases are recorded
What is the Income Statement Equation
Net Income is revenue- expenses
What is accounts receivable
the money a business is owed by its for goods or services that have been delivered but not yet paid for
what is liability
represent a company's debts or obligations to others
Parts of a Balance Sheet
Assets, liabilities , owners equity
What is a Asset
a resource or item of value that a person, business, or government owns or controls, and that can be used for the payment of debts or for the creation of future economic benefits
what is accounts liability
company's debts and obligations to other entities, including creditors, suppliers, and other parties
What is a general journal
a chronological record of all financial transactions within a business
Parts of Income Statement
revenue and expenses, net income and loss
What is the basic accounting equation
Assets= liabilities owners equity
what is net loss
a business's total expenses exceed its total revenue or income
What does GAAP stands for
generally accepted accounting principles
What is a source document
the original records that detail business or financial transactions, providing essential information like date, parties involved, amount, and purpose