Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
10 Cards in this Set
- Front
- Back
|
What are 3 types of businesses? |
Manufacturers/producers, retailers, service providers |
|
|
What are 3 forms of organization for business entities? |
Sole proprietorship, partnership, and corporation |
|
|
What are 3 business activities? |
Operating, investing and financing |
|
|
What is accounting? |
Accounting is the process of identifying, measuring, and communicating economic info to various users including management of companies, stockholders, finance analysts, creditors and gov't. |
|
|
What is the accounting equation? (aka balance sheet) |
ALOE Assets = Liabilities + Owner's equity
|
|
|
What are examples of assets? |
Cash, Accounts receivable, land, buildings, equipment, patents, trademarks, goodwill, copyrights |
|
|
What are examples of liabilities? |
Accounts payable, notes payable, wages & salaries payable |
|
|
What are examples of Owner's Equity? |
Capital stock, retained earnings, dividends. |
|
|
What is an income statement? |
Summarizes the inflow of revenue and outflow of expenses.
Net income = revenue - expenses |
|
|
What is the statement of retained earnings? |
Explains the change in retained earnings during the period. It summarizes income earned (+) and dividends paid (-) over the life of a business. |
