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
ACC CHEAT SHEET
| Question | Answer |
|---|---|
| direct write-off method: | records bad debt expense only when an account is determined to be worthless (small companies) |
| Capital Expenditure: | fixed asset or investment |
| Revenue Expenditure: | expense |
| characteristic of a fixed asset: | used in the operations of a business |
| acquisition cost of a piece of equipment: | transportation costs, installation costs, testing costs prior to placing the equipment into production |
| Notes receivable: | amounts that customers owe for which a formal, written instrument of credit has been issued (60+ day period, current asset) |
| Two methods of accounting for uncollectible accounts: | direct write-off method and the allowance method |
| receivables: | all money claims against other entities, including people, companies, and other organization |
| needed for straight-line depreciation: | Cost of the asset, Residual value, Estimated useful life |
| Accumulated Depreciation: | contra asset account |
| days’ sales in receivables: | 365/(Accounts receivable turnover ratio: sales / avg accounts receivable) |
| depreciable cost: | Initial Cost − Residual Value |
Created by:
IanMcCormick20