PUHSD Acct 1-2 Ch 1 Vocabulary Part 1

the standards and rules that accountants follow while reporting financial activities

• GAP

• CAP

• GAAP

• CAPP

the principles of right and wrong that guide an individual in making decisions

• equity

• ethics

• expense

• equities

an account used to summarize the owner's equity in a business

• capital account

• accounting equation

• owner's equity

• business ethics

a formal report that shows what an individual owns, what they owe, and the difference

• personal net worth

• financial statements

• accounting system

• net worth statement

a formal written document that describes the nature of a business and how it will operate

• financial statements

• service business

• business plan

• accounting system

the process of planning, recording, analyzing, and interpreting financial information

• accounting

• accounting system

• ethics

• business ethics

a planned process designed to compile financial data and summarize the results

• accounting

• ethics

• accounting system

• business ethics

financial reports that summarize the financial condition and operations of a business

• financial statements

• accounting system

• net worth statement

• personal net worth

anything of value that is owned

• equity

• asset

• accounting

• liability

an amount owed

• accounting

• asset

• liability

• equity