Accounting Equation

• Proving the bank statement and checkbook balance agree

• Assets = Liabilities + Proprietorship

• The person who writes the check to another

Accounts Receivable Trial Balance

• Determining the journal and the ledger are in balance

• A legal party who signs a negotiable instrument

• Request for payment

Accrual Basis of Accounting

• Summary of all income and expenses for a given period.

• Fund maintained to pay small unpredictable cash expenditure

• Income recorded when earned, and expenses are recorded when incurred

Balance Sheet

• A financial statement for a specific date that shows total assets, liabilities and business capital

• Asset is able to be transferred legally from one owner to another

• State; condition

Bank Reconciliation

• Legal paper authorizing a person to act as another's agent

• Occurrence of a financial event or condition to be recorded

• Proving the bank statement and checkbook balance agree

Cash Basis Accounting

• Fund maintained to pay small unpredictable cash expenditure

• System where income is recorded when received and expenses are recorded when paid

• Determining the journal and the ledger are in balance

Endorser

• The person who writes the check to another

• The person who signs their name on the back of a check to transfer title

• A bank employee who waits on customers

General Journal

• Summary of all income and expenses for a given period.

• Occurrence of a financial event or condition to be recorded

• The book in which all transactions are first recorded

Maker

• A legal party who signs a negotiable instrument

• Genetic inheritance

• Assets = Liabilities + Proprietorship

Negotiable

• System where income is recorded when received and expenses are recorded when paid

• Occurrence of a financial event or condition to be recorded

• Asset is able to be transferred legally from one owner to another