Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Chapter 3 Accounting
| Term | Definition |
|---|---|
| property | anything of value that a business or person owns and therefore controls |
| financial claim | legal right to an item |
| credit | an agreement to pay for a purchase at a later time; an entry on the right side of an account |
| creditor | a business or person to whom money is owed |
| assets | property or items of value owned by a business |
| equities | the total financial claims to the assets of a business |
| owner's equity | the owners claim to the assets of the business |
| liabilities | amounts owed to creditors; the claims of creditors to the assets of a business |
| accounting equation | the accounting relationship between assets and the 2 types of equities . assets = liabilities + owners equity |
| business transaction | an economic event that causes a change-either an increase or a decrease-in assets, liabilities, or owner's equity |
| account | a subdivision under assets, liabilities, or owner's equity that summarizes the changes and shows the balance for a specific item |
| accounts recievable | the amount of money owed to a business by its credit customers |
| accounts payable | the amount of money owed, or payable, to the creditors of a business |
| investment | money or other property provided for the purpose of making a profit |
| on account | the purchase of an item on credit |
| revenue | income earned from the sale of goods and service |
| expense | the cost of goods or services used to operate a business |
| withdrawal | the removal of cash or another asset from the business by the owner for personal use |
Created by:
Janna.Curtis
Popular Accounting sets