Terms
What is the definition of INCOME?
The money received by resource owners and by producers for supplying goods and services to customers
What is the Accounting formula?
Assets=Liabilities+Owners' Equality
Goods are tangible products
True
What is the definition of FINANCING?
The process of obtaining funds and using them to achieve the goals of the business
What is the Net Profit equation?
Revenue-Expenses=Positive Results
Serveries are tangible
False
What is the definition of ASSETS?
Anything of value that a business or individual owns
What is the Net Loss equation?
Revenue-Expanses=Negative Results
(because expenses were greater than the revenue)
A car wash is tangible
False
What is the definition of NET WORTH?
A company’s worth according to the balance sheet; also called book value
What is the Assets formula?
Liabilities+Owners' Equity=Assets
A haircut is intangible
True
What is the definition of ACCOUNTING?
The process of keeping and interpreting financial records.
Red Cross is a place
False