| A | B |
|---|
| Adjustments | Journal entries made to update accounts for items that were not recorded during the accounting period. |
| Depreciation | Allocation of the cost of a long-term asset to operations during its expected useful life. |
| Salvage Value | An estimate amount that could be received by selling or disposing of an asset at the end of its useful life. |
| Book value | The portion of an asset's original cost that hast not yet been depreciated. |
| Worksheet | A form used to gather all data needed at the end of an accounting period to prepare financial statements. |
| Straight line depreciation | An equal amount of depreciation being charged to each accounting period during the asset's useful life. |
| Contra account | A normal balance that is opposite that of a related account. |
| Prepaid expenses | Items that are acquired and paid for in advance of their use. |
