Ch 3 Glencoe Accounting Vocab Flashcard-Acct Equation/Transactions

Front

A person or business with a claim to a business's assets; someone to whom money is owed.

Back

Creditor

Front

Agreement to pay later for a purchase

Back

credit

Front

Money or property for profit.

Back

investment

Front

Total money owed to a business

Back

accounts receivable

Front

Amount owed to creditors of a business

Back

accounts payable

Front

When a business or individual buys an item on credit

Back

on account

Front

Costs of goods/services to operate a business

Back

expenses

Front

Income from sale of goods/services

Back

Revenue

Front

Subdivision under assets, liabilities, or owner's equity summarizing changes and showing balance for a specific item.

Back

account

Front

Legal right to property

Back

Financial claim