Accounting

Short-term obligations owed to suppliers for goods or services received.

Amounts owed to a business by customers for credit sales.

Accounting method that records income and expenses when they are earned or incurred, not when cash moves.

Receivable that is unlikely to be collected and is written off.

Financial statement showing assets, liabilities, and equity at a specific date.

Process of matching a company’s records with bank statements to identify differences.

Direct costs attributable to producing goods sold by a business.

Document issued to reduce the value of a previously issued invoice.

Document issued to increase the value of a prior invoice.

Tax accounting concept recognizing timing differences in income and expenses.

Systematic allocation of an asset’s cost over its useful life.

Inventory method where oldest stock is sold or used first.

Twelve-month period used for accounting and tax reporting.

Long-term tangible assets used in operations, like machinery or buildings.

Primary accounting record containing all journal entries.

Accounting assumption that a business will continue operating.

Common costs incurred by head office allocated to branches.

Document that records a sale and the amount payable.

Costing method that tracks costs for a specific job or project.

Recording of a transaction in the accounting system.

Document used to authorize a journal entry.

Book or system that records all financial transactions by account.

Threshold at which information becomes important for decision-making.

Statement summarizing revenue, costs, and profit over a period.

Estimated liability recorded for future expenses or losses.

Cumulative profits kept in the business rather than distributed.

List of ledger balances used to check arithmetic accuracy.

Cost to produce or procure a single unit of product.

Cost that changes in proportion to output or sales volume.

Estimated liability set aside for warranty claims.

Inventory of partially completed goods or projects.

Accounting entries passed to reflect accurate year-end balances.

Process of finalizing accounts at the end of a financial year.