| A | B |
|---|
| revenue | An increase in owner's equity resulting from the operation of a business. |
| expense | A decrease in owner's equity resulting from the operation of a business. |
| withdrawals | Assets taken out of a business for the owner's personal use. |
| asset | Anything of value that is owned. |
| liability | An amount owed by a business. |
| equities | Financial rights to the assets of a business. |
| balance sheet | A financial statement that reports assets. liabilities, and owner's equity on a specific date. |
| owner's equity | The amount remaining after the value of all liabilities is subtracted from the value of all assets. |
| capital | The account used to summarize the owner's equity in the business. |
| accounting equation | An equation showing the relationship among assets, liabilities, and owner's equity. |
| ethics | The principles of right and wrong that guide an individual in making decisions. |
| business ethics | The use of personal ethics in making business decisions. |
