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Chapter 4

chart of accounts A list of all accounts used by a business
credit An agreement to pay for a purchase at a later time; on the right side of the account
debit An entry on the left side of an account
double-entry accounting A system that recognizes the different sides of business transactions as debits and credits
ledger A group of accounts
normal balance The increase side of an account
T account A visual representation of a ledger account.
Created by: msutter19