Personal Balance Sheet Terms Flashcards
ASSETS
anything that has current or future economic value to a business.
Anything that you have possession of
ACCOUNTS RECEIVABLE
the balance of money due to a firm for goods or services delivered or used but not yet paid for by customers.
Money owed to YOU
TOTAL ASSETS
the representation of the worth of everything a person or company owns
LIABILITIES
any debts and obligations that a company or individual owes to another party.
ACCOUNTS PAYABLE
the money a company owes its suppliers for goods and services that have been provided and for which the supplier has submitted an invoice.
Money you owe to people
TOTAL LIABILITIES
All the liabilities listed are totaled together to give you a number
OWNER’S EQUITY
the portion of a company’s assets that an owner can claim;
TOTAL LIABILITIES AND EQUITIES
owner’s equity plus liabilities equals assets.
CREDITOR
Someone who LENDS you money
(you owe them)
DEBTOR
Someone whom you LENT money to
(they owe you)
BALANCE SHEET
A statement showing the financial position of a person, business, and other organization
