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27 Cards in this Set
- Front
- Back
Retained Earnings |
An amount earned by a corporation and not yet distributed to stockholders |
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Dividends |
Earnings distributed to stockholders |
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Board of Directors |
Agroup of persons elected by the stockholders to manage a corporation |
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Declaring a Dividend |
Actionby a board of directors to distribute corporate earnings to stockholders |
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Merchandise Inventory |
Theamount of goods on hand for sale to customers |
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Uncollectable Accounts |
Accountsreceivable that cannot be collected |
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Allowance Method for Recording Losses from Uncollectible Accounts |
Creditingthe estimated value of uncollectible accounts to a contra account |
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Book Value |
Thedifference between an asset’s account balance and its related contra accountbalance |
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Book Value of Accounts Recievable |
Thedifference between the balance of AccountsReceivable and its contra account, Allowance for UncollectibleAccounts |
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Current Assets |
Cashand other assets expected to be exchanged for cash or consumed within one year EX Cash, A/R, Prepaid Insurance, Supplies |
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Net Sales |
Totalsales less sales discount and sales returns and allowances |
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Cost of Merchandise Sold |
Theoriginal price of all merchandise sold during a fiscal period |
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Gross Profit on Sales |
Therevenue remaining after cost of merchandise sold has been deducted |
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Financial Ratio |
Acomparison between two items of financial information |
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Earnings per Share |
Theamount of net income after federal income tax belonging to a single share ofstock |
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Price-Earnings Ratio |
Therelationship between the market value per share and earnings per share of astock |
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Statement of Stockholders' Equity |
Afinancial statement that shows changes in a corporation’s ownership for afiscal period EX Capital Stock, Retained Earnings |
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Par Value |
Avalue assigned to a share of stock and printed on the stock certificate |
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Current Liabilities |
Liabilitiesdue within a short time, usually within a year |
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Long-term Liabilities |
Liabilitiesowed for more than a year |
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SupportingSchedule |
Areport prepared to give details about an item on a principal financialstatement |
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Plant Assets |
Assetsthat will be used for a number of years in the operation of a business EX Equipment, Buildings, Land |
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Depreciation Expense |
Theportion of a plant asset’s cost that is transferred to an expense account ineach fiscal period during a plant asset’s useful life |
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Estimated Salvage Value |
Theamount an owner expects to receive when a plant asset is removed from use |
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Straight-line Method of Depreciation |
Chargingan equal amount of depreciation expense for a plant asset in each year ofuseful life |
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Accumulated Depreciation |
The total amount of depreciation expense that has been recorded since the purchase of a plant asset |
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Book Value of a Plant Asset |
Theoriginal cost of a plant asset minus accumulated depreciation |