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16 Cards in this Set
- Front
- Back
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BalanceSheet |
Reportsassets, liabilities and SE on a specific date. |
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RetainedEarning statement (RE) |
Reportsthe changes in retained earnings over a period of time. |
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IncomeStatement |
Reports the profitability of the company’s operations over a period of time. |
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Historical Cost Principle |
Dictates that companies record assets at their cost |
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Fair Value Principle |
Assets and liabilities should be reported at fair value. |
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Monetary Unit Assumption |
Companies include in the accounting records only transaction data that can be expressed in terms of money. |
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Economic Entity Assumption |
All activities of the entity be kept separate and distinct from the activities of its owner and all other economic entities |
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Sole Propiertorship |
Owned by one person |
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Partnership |
Owned by two or more people |
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Corporation |
ownership divided into stocks |
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Assets |
Resources a business owns. Must provide future economic benefit |
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Liabilities |
Things that we owe |
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Stockholder Equity |
Ownership claim on total assets |
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Revenue |
Earned income |
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Dividends |
Distribution of cash or assets to stockholders. Dividends are not an expense |
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Expenses |
Cost of assets consumed or services used to process earnings. |
