Chapter 1
The process of planning, recording, analyzing, and interpreting financial information
Accounting
An accounting device used to analyze transactions
T account
A form for recording transactions in chronological order
Journal
A unique string of numbers and, sometimes, letters and other characters that identifies the owner of an account and grants access to it
Account Number
A bank account from which payments can be ordered by a depositor
Checking Account
A planned process designed to compile financial data and summarize the results in accounting records and reports
Accounting System
An amount recorded on the right side of an account
Credit
A business paper from which information is obtained for a journal entry
Source Document
An entry in accounting that fixes a mistake posted in your books
Correcting Entry
A bank form which lists the checks, currency, and coins an account holder is adding to a bank account
Deposit Slip
Anything of value that is owned
Asset
A list of accounts used by a business
Chart of Accounts
A business form giving written acknowledgement for cash received
Receipt
The main accounting record of a company or organization
General Ledger
A check which has been paid by the bank
Canceled Check
A business that performs an activity for a fee
An accountant who combines accounting and investigating skills to uncover suspected fraudulent business activity, or to prevent such activity
Forensic Accountant
A form on which a brief message is written to describe a transaction
Memorandum
A sale where the goods ae shipped and delivered before payment is due
Opening an Account
A petty cash on hand amount that is more than the recorded amount.
Cash Over
A business owned by one person
Proprietorship
A right granted to an individual or business to sell the products or services of another, larger business within a defined geographical area
Franchise
Determining that the amount of cash agrees with the accounting records
Proving Cash
The procedure of making entries from trial documents to a relevant general ledger
Posting
An accounting worker who processes routine details about accounting transactions
Accounting Clerk