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Chapter 4 Accounting

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Term
Definition
Charts of accounts   is the list of all accounts used by a business  
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Credit   any entry on the right side of the equation  
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Debit   Any entry on the left side of the equation  
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Double entry accounting   To analyze and record a transaction, recognizes the different sides of business transactions such as debit and credit  
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Ledger   Weather a system is manual of electronic, accounts are grouped in this  
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Normal balance   Is always the side used to record increases in the account  
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T account   Shows the dollar increase or decrease that is caused by a transaction  
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