Accounting Flashcards
The financial statement that shows how much the business has made or lost over a period of time
Income Statement
The financial statement that shows the worth of a business on a specific date
Balance sheet
On a financial statement the title is made up of three lines.
What are the 3 “W” words to remember
Who
What
When
A.) On a balance sheet, what are the items of value called
B.) On what side are they listed, left or right?
C.) In what order are they listed?
A.) Assets
B.) Left
C.) Liquidity (how quickly they can be turned into cash
A.) On a balance sheet, money owed to us as listed under what sub category?
B.) Under what main category are they placed
A.) Accounts Receivable
B.) Under Assets
A.) On a balance sheet what is the term for the things we pay for
B.) on what side are they listed
C.) in what order are they listed?
A.) Liabilities
B.) The right
C.) listed in order due/ the maturity date
A.) on a balance sheet money we owe to other companies is listed under what sub category?
B.) under what category are they listed
A.) Accounts payable
B.) liabilities
A.) On a balance sheet what is the value of the business called?
B.) What is the formula to calculate it?
A.) Owner’s Equity
B.) Assets - Liabilities = Owner’s Equity
Yes or No
A balance sheet shows how much the business is worth
YES
Yes or No
An example of how the date would appear on a balance sheet is
March 31, 2016
YES
A.) On an income statement, what is money coming into the business called?
B.) are these items listed first or second?
C.) in what order are they listed?
A.) Revenue
B.) Listed first
C.) in order from highest to lowest amount
A.) On an income statement what is money we pay called?
B.) Are these listed first or second?
C.) in what order are they listed
A.) Expenses
B.) Listed second
C.) Listed in alphabetical order
On an income statement what does the very last line say? it shows how much the business has made or lost over the time period
Net Income
Yes or No
Income statement shows how much the business is worth
NO
On a financial statement what does it mean if a number has brackets around it
Means it is a negative number
Yes or No
An example of how the date would appear on an income statement is
For Three Months Ending March 31, 2016
YES
Assets, Liabilities, and Owner’s Equity are shown on which financial statement
Balance Sheet
Revenue, Expenses and Net Income are shown on which financial statement?
income statement
This type of line indicates that a calculation is to be made
Single line
Type of line that shows calculations are done
Double line
Yes or No
Dollar signs are put on every number on a financial statement
NO
Yes or No
on a financial statement put a dollar sign at the top of s column and the number that is the answer to the calculation
YES
Term for hoe easily an item of value can be turned into cash
Liquidity
Things the business has paid out as shown on an income statement
Expenses
money your business owes supplies as shown on a balance sheet
Accounts Payable
Accounting Equation
For a balance sheet
Assets - Liabilites = owner’s equity
Term for a company’s financial reporting period
fiscal period
Money coming into the business as shown in the income statement
Revenue
money coming in is listed in this order on an income statement
Highest to lowest amount
On an income statement money coming in minus money we pay is listed as
Net income
Which is listed first on an income statement
Revenue
The value/worth of the business
Owner’s equity
3 months of the financial year
Quarter
Money our customers owe us as shown on a balance sheet
Accounts receivable
Items of value owned by a business as shown on a balance sheet
Assets
On a balance sheet liabilities are listed in the order they must be paid
Maturity Date
