Accounting Glossary test 2

  1. The difference between the total debits and the total credits in an account.
    Account Balance
  2. The process involved in journalizing, posting to the ledger, taking a trial balance, preparing statements, making adjusting and a closing entries, and preparing a post-closed trial balance.
    Account Cycle
  3. Deterining the fundamental significance of business transations so that financial information may be properly processed.
  4. The Abbreviation for Credit
  5. A condition that occurs when the total of the credits in an account is larger than the total of the debits in that account.
    Credit Balance
  6. Cash of other assets that will be converted into cash or consumed within one year.
    Current Assets
  7. Debits of a business that are generally paid within one year.
    Current Liabilities
  8. The left Side of the standard Account.
    Debit Side
  9. A condition that occurs when the total of the debits in an account is larger than the total of the credits in that account.
    Debit Balance
  10. The business or individual who owes a debt.
  11. The process of recording equal debits and credits for a single business transaction.
    Double Entry Accounting
  12. The abbreviation for debit.
  13. A separate owners equity account in which withdrawals of cash or other assets by the owner for personal use are recorded.
    Drawing Account
  14. A book of original entry in which any business transaction is recorded in chronological order.
    General Journal
  15. The book of Accounts.
    General Ledger
  16. A book of accounts in which data from transactions recorded in journals are posted and thereby summarized.
  17. Accounts utilized to accumulated income, expenses, and owners withdrawals for one accounting period only.
    Temporary Owner's Equity Account
  18. A skeleton form of an account used for instructional purposes.
    T Account
Card Set
Accounting Glossary test 2
Accounting Glossary test 2