Balance sheet Flashcards
What is Cash ?
Money held by the company in its bank accounts
What is Marketable securities?
Debt or equity securities held by the company
What are Inventories?
Inventories represent any unfinished or finished goods that are waiting to be
sold, and the direct costs associated with the production of these goods
What are Prepaid expenses?
When a company prepays for things like utilities, insurance and rents, the right
to the future services become assets.
What is Property, Plant & Equipment
(PP&E)?
Land, buildings, and machinery used in the manufacture of the company’s
services and products
What are Intangible Assets &
Goodwill?
Non-physical assets such as patents, trademarks, and goodwill acquired by the
company that have value based on the rights belonging to that company
What are Accrued Expenses?
Expenses like employee compensation that the company has incurred, but for which it
has not yet paid.
What are Accounts Payable?
A company’s obligations to suppliers for services and products already purchased from
them, but which have not been paid. In other words, accounts payable represent the
company’s unpaid bills to its suppliers for services obtained on credit from them.
What is Deferred Revenue?
Revenue received for services not yet provided by the company
Capital Leases
Capital leases represent long-term liabilities defined as contractual agreements,
allowing a company to lease PP&E for a certain period of time in exchange for regular
payments.
Preferred Stock
Stock that has special rights and takes priority over common stock.
Common Stock
Represents capital received by a company when it issues shares.
Treasury Stock
Common stock that had been issued and then reacquired (bought back) by a company .
Retained Earnings
Total company earnings / losses since its inception less all dividends.
Other
Comprehensive
Income (OCI)
OCI includes gains and losses from foreign currency translations, unrealized gains and
losses on available for sale securities, etc.
