Accounting Chap. 6 Vocab

Front

Columnar form summarizing general ledger for financial statements.

Back

worksheet

Front

Changes on a worksheet to update general ledger accounts at the end of a fiscal period.

Back

Adjustments

Front

Cash paid for an expense in one fiscal period, not used until later.

Back

Prepaid expense

Front

Journal entries to update ledger accounts at the end of a fiscal period.

Back

Adjusting entries

Front

A financial state showing revenue and expenses for a fiscal period.

Back

Income statement

Front

A financial statement reporting a business' assets, liabilities, and owner's equity on a specific date.

Back

balance sheet

Front

Proof of equality of debits and credits in a ledger.

Back

trial balance

Front

Reporting income when earned and expenses when incurred. Required by GAAP:

Back

Accrual basis of accounting

Front

Difference between total revenue and total expense when revenue is greater.

Back

net income

Front

Length of time a business summarizes its financial info and reports performance.

Back

fiscal period