Chapter 3 to 4 Acc Flashcards
are the economic resources you control that have resulted from past events and can provide you with economic benefits.
Assets
are your present obligations that have resulted from past events and can require you to give up economic resources when settling them
Liabilities
is simply assets minus liabilities. Other terms for equity are ‘‘capital,’’ ‘‘net assets,’’ and ‘‘net worth’’
Equity
increases in economic benefits during the period in the form of increases in assets, or decreases in liabilities, that result in increases in equity,
Income
decreases in economic benefits during the period in the form of decreases in assets, or increases in liabilities, that result in decreases in equity,
Expenses
is a list of all the accounts used by a business
Chart of Accounts
Balance Sheet Account:
Assets
Liabilities
Equity
Income Statement:
Income
Expenses
- Cash
- Account Receivable (A/R)
- Allowance for bad debts
- Notes Receivable
- Prepaid Supplies
- Prepaid Rent
Balance Sheet Accounts
(Assets)
- Prepaid insurance
- Land
- Building
- Accumulated depreciation - Building
- Equipment
- Accumulated depreciation - equipment
Balance Sheet Accounts
(Assets)
- Accounts payable
- Notes payable
- Interest payable
- Salaries payable
- Utilities payable
- Unearned
Balance Sheet Accounts
(Liabilities)
- Owner’s capital (or Owner’s equity)
- Owner’s drawings
Balance Sheet Accounts
(Equity)
- Service fees
- Sales
- Interest income
- Gains
INCOME STATEMENT ACCOUNTS
(INCOME)
- Cost of sales (or Cost of goods sold)
- Freight-out
- Salaries expense
- Rent expense
- Utilities expense
INCOME STATEMENT ACCOUNTS
(EXPENSES)
- Supplies expense
- Bad debt expense
- Depreciation expense
- Advertising expense
- Insurance expense
INCOME STATEMENT ACCOUNTS
(EXPENSES)
