Accounting Terms

2. a business earns revenue or income from the sales of goods or services.
3. is the process of recording, analyzing, and interpreting the economic activities of a business.
9. are the costs of operating the business during the period the sales took place.
10. all the money that is left over after deducting the gross profit and the expenses.
11. a 12 month operating period for a business.

1. a financial statement that shows a business’s profitability over a stated period of time.
4. the owner’s investment in the business, or the financial part of the business that is owned by the owner.
5. all the money that is left over after deducting the cost of goods sold form the revenue.
6. a financial statement that shows the financial position of a business on a single, specific date.
7. are the debts of a business.
8. are things of value that the business owns.
12. liquid assets can easily be turned into cash.