| A | B |
|---|
| Accounting | Planning, recording, analyzing, and interpreting financial information |
| Accounting System | a planned process for providing financial information that will be useful to management |
| Accounting Records | Organized summaries of a business's financial activities |
| Service Business | A business that performs an activity for a fee |
| Proprietorship | A business owned by one person |
| Asset | Anything of value that is owned |
| Equities | Financial rights to the assets 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 |
| Accounting Equation | An equation showing the relationship among assets, liabilities, and owner's equity |
| Transaction | A business activity that changes assets, liabilities, or owner's equity |
| Account | A record summarizing all the inforamtion pertaining to a single item in the accounting equation |
| Account title | The name given to an account |
| Account balance | The amount in an account |
| Capital | The account used to summarize the owner's equity in a business |
| Balance Sheet | A financial statement that reports assets, liabilities, and owner's equity on a specific date |
