| A | B |
|---|
| Accounting | The system of recording and reporting financial activitiy and transactions |
| Audit | A formal examination of a company's financial records for accuracy and compliance with regulations. |
| Budget | A plan that shows what you expect to earn and spend in a certain period of time. |
| Financial Statements | A written report which describes the financial health of a company |
| Assets | Things (items) owned by a company. |
| Liabilities | Money owned by the business (sebts, accounts payable) |
| Owner's Equity | Net worth of the business. |
| Income Statement | A report showing the revenue, expenses, and income (or loss) of a business for a specific period of time. |
| Revenue | The amount of money that a company earns. |
| Profit | Results when a business' income is greater than its expenses |
| Expenses | Costs of maintaining and operating a business. |
| Loss | Results when a business' expenses are greater than its income |
| Fiscal Period | The specific period of time covered by an accounting statement or report. |
| Statement of Change in Owner's Equity | Financial statement that reports the changes that have occurred in the owner's equity account during the fiscal period. |
| Accountant | A professional who produces and examines financial records, prepares financial reports and tax returns, and may give budget, tax, or injvestment advice to the company or customer. |
| Auditor | A professional whose work mainly involves checking the accuracy of work performed by bookkeepers and accountants. |
