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Vocab

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Term
Definition
Accounting cycle   Activities performed in an accounting period that helps the business keep its records in an orderly fashion  
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Calendar year   Accounting period that begins on January 1 and ends on December 31  
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Check stub   A source document that lists the same information that appears on a check and shows the balance in the checking account before and after each check is written  
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Fiscal year   An accounting period of twelve months  
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General journal   An all-purpose journal in which all the transactions of a business may be recorded  
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Invoice   A source document that lists the quantity, description, unit price, and total cost of items sold and shipped to a buyer  
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Journal   A chronological records of transactions of a business  
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Journalizing   The process of recording business transactions in a journal  
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Memorandum   A brief written message that describes a transaction that takes place within a business  
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Receipt   A source document that serves as a record of cash received  
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Source document   A paper prepared as evidence that a transaction occured  
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