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Vocab list 4

TermDefinition
chart of accounts A chart of accounts (COA) is a master index of all financial accounts in a company's general
Credit Credit is an agreement where a lender gives money, goods, or services to a borrower who promises to pay for them later
debit A debit is an accounting entry that records money taken out of an account
double-entry accounting Double-entry accounting is a bookkeeping system where every financial transaction is recorded across at least two accounts as equal and opposite debits and credits
ledger A ledger is a book, file, or digital record that stores a business or organization's financial transactions
normal balance normal balance is the expected side—either debit or credit—where an account increases
T account A T-account is a visual tool used in double-entry bookkeeping that looks like the letter
Created by: nreynolds27
 

 



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