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Chapter 5 vocab

acct 1

AB
permanent accountsaccounts that are continuous from one accounting period to the next; balances are carried forward to the next period (for example, assets, liabilities, and the owners capital account)
revenue recognitionthe GAAP principle that revenue is recorded on the date it is earned even if cash has not been received
temporary accountsaccounts used to collect information that will be transferred to a permanent capital account at the end of the accounting period (for example revenue, expense, and the owner's withdrawals account)


Teacher
Coral Springs Charter School
Coral Springs, FL

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