Accounting Terms Chapter 1

Front

Financial rights to the assets of a business are called

Back

equities

Front

A business activity that changes assets, liabilities, or owner's equity

Back

transaction

Front

Anything of value that is owned

Back

asset

Front

The name given to an account

Back

account title

Front

A business owned by one person

Back

proprietorship

Front

The amount in an account

Back

account balance

Front

A business that performs an activity for a fee

Back

service business

Front

The account used to summarize the owner's equity in a business

Back

capital

Front

Financial reports that summarize the financial condition and operations of a business

Back

financial statements

Front

An increase in owner's equity resulting from the operation of a business

Back

revenue