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
Accounting Chapter 3
| Term | Definition |
|---|---|
| Property | Anything of value that a person or business owns and therefore controls. |
| Financial Claim | a 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 owner's claim to the assets of a business |
| liabitlities | amounts owed to creditors; the claims of creditors to the assets of a business |
| accounting equation | assets = liabilities + owner's equity |
| business transaction | an economic event that causes a change -- either an increase or 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 each specific item |
| accounts receivable | the amount of money owed to a business by its credit customers |
| accounts payable | the amount of money owed, or payable, to the creditor of a business |
| investment | money or other property provided for the purpose of making profit |
| on account | the purchase of an item on credit |
| revenue | income earned from the sale of goods and services |
| 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:
chalindriafulkerson
Popular Accounting sets