Accounting Chapter 3 Flashcards
Account
An Individual accounting record of increases and decreases in specific asset, livability, stockholders’ equity, revenue or expense items.
Accounting Information System
The system of collecting and processing transaction data and communicating financial information to decision-makers.
Accounting Transactions
Events that require the financial statements because they affect assets, liabilities, or stockholders’ equity.
Chart of Accounts
A list of a company’s accounts
Credit
The right side of an account
Debit
The left side of an account
Double-entry system
A system that records the two-sided effect of each transaction in appropriate accounts.
General Journal
The most basic form of journal
General ledger
A ledger that contains all asset, liability, stockholders’ equity, revenue, and expense accounts.
Journalizing
The procedure of entering transaction data in the journal.
Journals
An accounting record in which transactions are initially recorded in chronological order.
Ledger
The group of accounts maintained by a company.
Posting
The procedure of transferring journal entry amounts to the ledger accounts.
T-Account
The basic form of an account
Trial Balance
A list of accounts and their balances at a given time.
An individual accounting record of increases and decreases in specific asset, liability, stockholders’ equity, revenue or expense items.
a. Account
b. Accounting Information System
c. Accounting Transactions
d. Ledger
a. Account.
The system of collecting and processing transaction data and communicating financial information to decision-makers.
a. Account
b. Accounting information system
c. Chart of accounts
d. Journalizing
b. Accounting information system
Events that require recording in the financial statements because they affect assets, liabilities, or stockholders’ equity.
a. Account
b. Accounting transactions
c. Debit
d. General journal
b. Accounting transactions
A list of a company’s accounts.
a. Account
b. Accounting transactions
c. Chart of accounts
d. Trial balance
c. Chart of accounts
The right side of an account.
a. Credit
b. Debit
c. Double-entry system
d. Ledger
a. Credit
The left side of an account.
a. Accounting transactions
b. Debit
c. Double-entry system
d. General journal
b. Debit
A system that records the two-sided effect of each transaction in appropriate accounts.
a. Credit
b. Double-entry system
c. Journalizing
d. Trial balance
b. Double-entry system
The most basic form of journal.
a. Accounting transactions
b. Chart of accounts
c. Debit
d. General journal
d. General journal
A ledger that contains all asset, liability, stockholders’ equity, revenue, and expense accounts.
a. Chart of accounts
b. Debit
c. General ledger
d. Trial balance
c. General ledger