Accounting I - Semester Review

Anything of value that is owned.

• asset

• liability

• revenue

• expense

The amount remaining after the value of all liabilities is subtracted from the value of all assets.

• accounting equation

• equity

• owner's equity

• personal net worth

A planned process for providing financial information that will be useful to management.

• accounting

• accounting system

• business ethics

• GAAP

The difference between personal assets and personal liabilities.

• accounting equation

• equity

• owner's equity

• personal net worth

Financial reports that summarize the financial conditions and operations of a business.

• accounting system

• business plan

• financial statements

• net worth statement

The difference between assets and liabilities

• account balance

• equity

• owner's equity

• personal net worth

A business that performs an activity for a fee

• merchandising business

• service business

Financial rights to the assets of a business

• capital account

• equities

• personal net worth

• revenue

A business owned by one person

• corporation

• partnership

• proprietorship

A record summarizing all the information pertaining to a single item in the accounting equation.

• account

• business plan

• net worth statement

• transaction