Chapter 1 Terms (23rd) - Chapter 1 Terms Account form The...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 1 Terms Account form The form of balance with the assets section presented on the left-hand side and the liabilities and owner's equity sections presented on the right-hand side. Account Payable A liability created by a purchase made on credit. Account Receivable A claim against a customer for services rendered or goods sold on credit. Accounting An information system that provides reports to stakeholders abount the ecomomic activities and condition of a business. Accounting Equation The expression of the relationship between assets, liabilities, and owner's equity; if is most commonly stated as Assets = Liabilities + Owner's Equity. Assets Resources that are owned by the business. Balanced sheet A financial statement listing the assets, liabilities, and owner's equity of a business entity as of a specific date. Business An organization in which basic resources, such as materials and labor, are assembled and processed to provide goods or services to customers. Business entity concept The concept that accounting applies to individual economic units and that each unit is separate from the persons who supply its assets. Business stakeholder
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 3

Chapter 1 Terms (23rd) - Chapter 1 Terms Account form The...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online