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ACC-Chapter 2

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Answer
Account   A record of increases and decreases in specific asset, liability, or owner’s equity items  
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Chart of Accounts   A list of accounts and the account numbers that identify their location in the ledger  
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Compound Entry   A journal entry that involves three or more accounts  
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Credit   The right side of an account  
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Debit   The left side of an account  
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Double-Entry System   A system that record in appropriate accounts the dual effect of each transaction  
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General Journal   The most basic form of journal  
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General Ledger   A ledger that contains all asset, liability, and owner’s equity accounts  
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Journal   An accounting record in which transactions are initially recorded in chronological order  
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Journalizing   The entering of transaction data in the journal  
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Ledger   The entire group of accounts maintained by a company  
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Normal Balance   An account balance on the side where an increase in the account is recorded  
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Posting   The procedure of transferring journal entries to the ledger accounts  
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Simple Entry   A journal entry that involves only two accounts  
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T Account   The basic form of an account  
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Three-Column Form of Account   A form with columns for debit, credit, and balance amounts in an account  
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Trial Balance   A list of accounts and their balances at a given time  
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Created by: JJACCOUNTING
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