vocab 1
a business form ordering a bank to pay cash from a bank account
What is a check?
a business form giving written acknowledgment for cash received
What is a receipt?
the most important to the daily running of a business
What is cash?
the inventory that you have on hand at the beginning of the accounting period
What is beginning inventory?
accounts receivable that cannot be collected
What is bad debt?
an account device used to analyze transactions
what is a T account?
a business paper from which information is obtained for a journal entry
What is a source document?
inventory that is on hand at the end of an accounting period
What is ending inventory?
decrease in owner's equity resulting from the operation of a business
what is an expense?
determining that the amount of cash agrees with the accounting records
What is proving cash?
an amount recorded on the right side of a t account
What is a credit?
a form in which a brief message is written describing a transaction
Gross profit minus expenses; the bottom line
What is net profit?
a report of deposits, withdrawals, and bank balances sent to a depositor by the bank
What is a bank statement?
the principles of right and wrong that guide an individual in making decisions
What are ethics?
an amount recorded on the left side of a t account
What is debit?
a form describing the goods or services sold, the quantity, and the price
What is an invoice?
statement the documents the movement of cash within the business: cash inflow minus cash outflow
What is Cash Statement?
the process of gradually paying off a liability over time
What is amortization?
reduction in the cost bases of the fixed assets due to the wear and tear, passage of time, and obsolescence
What is depreciation?