Accounting Terms: Back to Basics
Across
- 3. includes currency, coins, and amounts on deposit in bank checking or savings accounts
- 8. an entry that decreases asset and expense accounts, and increases liability, equity, and revenue accounts
- 11. record within an accounting system where increases and decreases in a specific asset, liability, equity, revenue, or expense are entered and stored
- 13. charge for using money until repaid at a future date
- 15. the action or process of keeping financial accounts
- 16. cost of inventory sold to customers during a period
- 17. describes the sources and uses of cash for a reporting period
- 18. method to assign cost to inventory that assumes items are sold in the order acquired
- 19. expense created by allocating the cost of plant and equipment to periods in which they are used; represents the expense of using an asset
- 22. amount by which a company's value exceeds the value of its individual assets and liabilities
- 23. amount that the signer of a note agrees to pay back when it matures, no including interest
- 25. individuals and organizations that own the right to receive payments from a company
- 27. long-term assets used to produce or sell products or services; they usually lack physical form and their benefits are uncertain
- 28. obligations to make a future payment if, and only if, an uncertain future event occurs
- 30. individual or entity that owns the shares of a corporation
- 32. method to assign cost to inventory that assumes costs for the most recent items purchased are sold first and charged to cost of goods sold
- 33. reports the financial position of a company at a point in time
- 35. the owner’s claim on the assets of a business, aka “net assets”
- 39. class of ownership in a corporation that has a higher claim on its assets and earnings than common stock
- 40. net sales minus cost of goods sold
- 41. accounts of customers who do not pay what they have promised to pay
- 42. a liability created by buying products or services on credit
- 43. estimate of amount to be recovered at the end of an asset's useful life
- 44. total cost of an asset less its accumulated depreciation
- 45. merchandise a company owns and expects to sell in its normal operations
- 48. a records of the debits and credits of transactions and events
- 49. process of allocating the cost of an intangible asset to expense over its estimated useful life
- 50. accounting system that recognizes revenues when cash is received and records expenses when cash is paid
Down
- 1. length of time an asset will be productively used in the operations of a business
- 2. occurs when expenses exceed revenues
- 3. security that represents ownership in a corporation; holders exercise control by electing a board of directors and voting on corporate policy
- 4. an asset created by selling products or services on credit
- 5. customers and other individuals and organizations who owe a company
- 6. any payment received from investors for stock that exceeds the par value of the stock
- 7. obligations of a company that reflect the claims of others against assets
- 9. journal entry at the end of an accounting period to bring an asset or liability account to its proper amount and update the related expense or revenue account
- 10. obligations due to be paid or settled within the longer of one year of the operating cycle
- 12. income statement, balance sheet, statement of changes in owner’s equity, and statement of cash flows
- 14. equals a corporation’s accumulated net income (loss) for all prior periods that has not been distributed to shareholders
- 15. examining an entity's accounting records, as well as the physical inspection of its assets
- 20. a liability expressed by a written promise to make a future payment at a specific time
- 21. cash or other assets that are expected to be sold, collected, or used within the longer of one year or the company’s operating cycle
- 24. entries recorded at the end of each accounting period to transfer end-of-period balances in revenue, expense, and withdrawals accounts to the owner’s capital account
- 26. outflows or the using up of assets in providing products and services to customers
- 29. reports the revenues earned less the expenses incurred by a business over a period of time
- 31. occurs when revenues exceed expenses
- 34. entity created by law and separate from its owners
- 36. corporation's reacquired shares
- 37. an entry that increases asset and expense accounts, and decreases liability, equity ad revenue accounts
- 38. accounting system that recognizes revenues when earned and expenses when incurred
- 46. inflows of assets in exchange for products and services provided to customers as part of a company’s operations
- 47. resources owned or controlled by a company that provide expected future benefits to the company