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ACCOUNTING
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Luis Noberto Gómez Fonseca
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ACCOUNTING
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Luis Noberto Gómez Fonseca
1. Revenue: All incoming money from selling products and services or generated through a company's additional assets.
2. INCOME STATEMENT: A report that tracks the company's revenues, costs, and expenses over a set period.
3. Accounts Payable: Outstanding payments the company currently owes to suppliers, vendors, and creditors.
4. EQUITY: All capital currently invested in the company, including any profits that have been re-invested as retained
5. FIXED ASSETS: Assets with longterm value, such as land and property, tools and machinery, or vehicles
6. BALANCE SHEET: A financial document that reconciles all the company's assets with their liabilities and equity.
7. Certified Public Accountant: CPAs are accountants who have passed the American Institute of Certified Public Accountants'.
8. General Ledger: Record of all financial transactions across all of a company's accounts, which is maintained continuously for the
9. Certified Management Accountant: Certified Management Accountants work on a company's internal financial
10. Credit: An entry on a balance sheet that decreases asset values and/or increases liability and equity values.
11. Costs: The total money spent to produce goods and services, including production, labor, storage, and material costs.
12. Expenses: Any additional money spent operating the company that's not associated with the production of sellable products
13. Accounts Receivable: Outstanding payments the company is currently owed by all customers/clients.
14. LIABILITIES: All money and outstanding debts owed by the company.
15. CURRENT ASSETS: Capital that has immediate value, including cash, sellable products, or accounts receivable.
16. Net Income: The company's total profit (or loss, if negative) once costs and expenses are subtracted from revenue.
17. Debit: An entry on a balance sheet that increases asset values and/or decreases liability and equity values.
18. Return on Investment: Used to determine how much of the money spent producing goods/services was recouped in.
19. Present Value (PV): The amount a future sum of money is currently worth today.
20. Auditors: Auditors evaluate a company's financial records for accuracy, check for mistakes and discrepancies, and some may
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