front 1 normal balance | back 1 The side of an account that is increased. |
front 2 double-entry accounting | back 2 A system in which each transaction has a dual effect on the accounting elements |
front 3 normal balance for assets, expenses, & drawing accounts | back 3 debit balance |
front 4 normal balance for liability, owner's equity, and revenue accounts | back 4 credit balance |
front 5 to enter an amount on the left side of an account | back 5 debit |
front 6 to enter an amount on the right side of an account | back 6 credit |
front 7 What 3 questions should be asked in every transaction analysis | back 7 1. What happened?
|
front 8 Accounting equation | back 8 Assets=Liabilities + Owner's Equity |
front 9 What are 3 commonly prepared financial statements? | back 9 Income Statement, Statement of owner's equity, & Balance Sheet |
front 10 Assets (+) | back 10 debit |
front 11 Assets (-) | back 11 Credit |
front 12 Liability (+) | back 12 credit |
front 13 Liability (-) | back 13 debit |
front 14 Owner's equity (+) | back 14 credit (rarely are there credits) |
front 15 Owner's equity (-) | back 15 debit (same thing as a draw) |
front 16 Expenses (+) | back 16 debit |
front 17 Expenses (-) | back 17 credit (very rare) |
front 18 3 parts of T accounts | back 18 Account, debits, & credits |
front 19 total of each side of T accounts | back 19 footings |
front 20 difference in footings in credits and debits | back 20 balance of account |
front 21 where is balance of account written | back 21 side with larger footing |
front 22 Assets | back 22 cash, accounts receivable, equipment, buildings, land |
front 23 Liabilities | back 23 accounts payable, notes payable |
front 24 owner's equity | back 24 owner's investment, revenue, & expense items |
front 25 Trial Balance | back 25 listing of all accounts and their balances,totaling dr. and cr. prooving they equal, & is prepared as an aid in preparing financial statements |
front 26 What should be included in the heading of trial balance? | back 26 Name of Company, Type of document "Trial Balance", & date of trial balance |
front 27 In what order are the accounts listed on a Trial Balnace? | back 27 Assets, Liabilities, Owner's Equity,Revenue accounts, & last the expense accounts |
front 28 Wow do you know if you completed a Trial Balance correctly | back 28 Debits = Credits |