Century 21 Accounting Chapter 1

franchises – by contract or indefinite
Demand – External parties demand financial accounting information to facilitate thie resource allocation ~Creditors and Investors
Cash Receipts Journal – Journal used by merchandising business to record cash received from all sources.
ICAA – Institute of Chartered Accountants in Australia
short-term notes payable – liabilities

amounts owed from borrowing from a bank or a financing company

International Accounting Standards Board – Regulates global accounting.
Trade deficits are bad for a country. It is never a good idea to run a trade deficit. 
liquidity – the ability to have enough cash to pay debys when they are due
borrowers – مُقـتَرِض ، المقترضون
Comparable – From year to year for one company, across companies for a single year, to industry averages
profitability ratios – measures of the degree of success or failure of a given company or division for a given period of time
What is the estimate of the asset's value at the end of its useful life called? – Salvage Value
Gross Profit – is that part of a business's profit that represents revenue minus cost of goods sold.
Trаde deficits аre bаd fоr a cоuntry. It is never a gоod idea to run a trade deficit. 
In determining Cost of goods sold
A. Purchase Discounts are deducted from Net Purchases
B. Freight-out is added to Net Purchases.
C. Purchase Returns and Allowances are deducted from Net Purchases.
D. Freight-in is added to Net Purchases. – D
Business ethics – Use of ethics in making business decisions

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