| A | B |
|---|
| equities | Financial rights to the assets of a business |
| ethics | the principles of right and wrong that guide an individual in making decisions. |
| expense | a decrease in owner's equity resulting from the operation of a business. |
| financial statements | financial reports that summarize the financial conditions and operations of a business. |
| liability | an amount owed by a business |
| owner's equity | the amount remaining after the value of all liabilities is subtracted from the value of all assets. |
| proprietorship | a business owned by one person |
| revenue | an increase in owner's equity resulting from the operation of a business |
| sale on account | a sale for which cash will be received at a later date. |
| service business | a business that performs an activity for a fee. |
| account | A record summarizing all of the information pertaining to a single item int he accounting equation. |
| account balance | The amount in an account. |
| account title | The name given to an account |
| accounting | Planning, recording, analyzing, and interpreting financial information |
| accounting equation | An equation showing the relationship among assets, liabilities, and owner's equity. |
| accounting records | Organized summaries of a business's financial activities |
| accounting system | A planned process for providing financial information that will be useful to management. |
| asset | Anything of value that is owned. |
| business ethics | The use of ethics in making business decisions |
| capital | The account used to summarize the owner's equity in the business. |
| transaction | A business activitiy that changes assets, liabilities, or owner's equity. |
| withdrawals | Assets taken out of a business for the owner's personal use. |
