Accounting: Chapter 6 Vocab

intangible assets with a definite life decrease over the time the asset is used – …
common stock – -shows the amount of the owners' investment in a corporation
-increases owners' equity
-increases assets (cash)
-when owners invest assets in a business, they receive shares of common stock in return
Provisions and one time fees – add back when its an expense
subtract when its an income
ex) impairment, lawsuits, integration, restructuring
*rentals we assume are not one time
Economic entity – All economic events can be identified with a particular entity
T-account – A device that is used to demonstrate the impact of certain transactions and events.
what are the 4 categories of assets – current assets
plant(fixed assets)
intangible assets
investments
Accounting Equation – An equation showing the relationship among assets, liabilities, and owner's equity
credit – Increase accounts payable
Which is true about the poverty line? Check all that apply. 
Management accounting – the type of accounting that foucuses on reporting info to management:often referred to as accounting for internal users of accounting info.
separate by entity – the accounting concept that treat a business as distinct form its owners , creditor, and customer
What is the difference between input and output vat? – Vat payable and vat reinbursable
units of activity method= deprication rate per output unit – productive output
(cost- residual value)/service life output
Stock – shares into which the owners equity of a corporation is divided.
Which is true аbоut the pоverty line? Check аll thаt apply. 
commision – the profit the broker gets for his job
income statement – shows the amount the business earned during a period of time

Net income or loss is the total earned from providing goods and services to customers (REVENUES) less what it costs to provide the goods and services to the same customers (EXPENSES)

Copyrights – Exclusive right to publish and sell a musical, literary, or artistic work during the life of the creator plus 70 years.
excess of revenue – net income/earnings

This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply