| A | B |
|---|
| Accounting | is a system that helps businesses keep track of all their financial information is an organized way. |
| Cost | is the price paid for goods and services when the goods are received or the services are provided. |
| Cost of sale | shows how much was spent to buy food and beverages that were sold at the restaurant during a given time. |
| Direct cost | is an expense that is the responsibility of a specific department. |
| Indirect cost | are expenses that are not easily charged to any one specific department. |
| Loss | is when a business spends more money than it receives in revenue. |
| Profit | is the money that is left when costs have been subtracted from revenue. |
| Revenue | is a word accountants use to describe money that is taken in by a business when its products or services are sold. |
| Transaction | is when money is exchanged for business reasons. |
| Account | are simply the categories within which the transactions are recorded. |
| Credit | are always recorded on the right. |
| Debit | are always recorded on the left side. |
| Double-entry accounting | is a system for recording an equal debit and credit by hand for each business transaction. |
| T-account | the lines that make-up each account record resemble the capital letter ___. |
| Trail balance | a process used to make sure that total debits equal total credits. |
| Trail balance statement | a report that shows the final totals for the business's accounts. |
| Expenses | include money paid for items like employee wages and any services that are necessary to run the business. |
| Income statement | show's a business's revenue and expenses over a period of time as well as the resulting profit or loss. |
| Net income | found at the bottom of the income statement, reflects the final profit or loss for the time period. |
| Contributory income | is the amount of income that a particular department contributes to the foodservice establishment's total income. |
