Accounting Terms and Concepts, Quizzes of Financial Accounting

Download Accounting Terms and Concepts and more Quizzes Financial Accounting in PDF only on Docsity! TERM 1 Transaction DEFINITION 1 Any event that has a financial impact on the business and can be measured reliably. TERM 2 Account DEFINITION 2 Record of all the changes in a particular asset, liability, or stockholders equity during a period. TERM 3 Accrued Liabilities DEFINITION 3 A liability for an expense you have not yet paid (interest payable, salary payable, and income tax payable) TERM 4 T-Accounts DEFINITION 4 Line divides two sides (debit on the left, credit on the right) with the account title on the top. TERM 5 Debit DEFINITION 5 Shows what you receive TERM 6 Credit DEFINITION 6 Shows what you gave TERM 7 Rules of Debit and Credit DEFINITION 7 Increases in assets are debit, decreases credit. Increases in liabilities and stockholders equity are credit, decreases are debit. Bottom of the T-Account is the balance TERM 8 Debit and Credit with dividends and Expenses DEFINITION 8 Increases in dividends and expenses is a debit, and decreases are a credit. TERM 9 Journal DEFINITION 9 Chronological record of transactions listed by date. TERM 10 Ledger DEFINITION 10 A grouping of all the T-accounts with their balances. This comes after the Journal.