An account that includes expenses, losses and incomes is
known as what?
Nominal account
Dividing current assets by current liabilities will result
in what?
Current Ratio
For every debit there is an equal credit in what entry
system?
Double
In the United States, what agency regulates accounting
practices?
Securities Exchange Commission
Individuals who owe money to a business are called what?
Debtors
Resources owned by a business are called what?
Assets
The accounting abbreviation for credit is what?
Cr.
The accounting abbreviation for debit is what?
Dr.
The factors that a business owes are called what?
Liabilities
The money and resources that a business needs to operate are
called what?
Capital
Universities, labor unions, and hospitals fit into what type
of accounting?
Not-for-profit accounting
What does C/D stand or in the term “Balance C/D”?
Carry down
What does G.A.A.P. stand for?
Generally Accepted Accounting Principles
What happens to assets when they increase?
They are debited
What is the first step in the cycle of accounting?
Analyze
What is the name of the person who is the primary user of
accounting information, and who has a direct financial interest in the
business?
Director
What’s the term for an exchange of goods between a business
and a consumer?
Transaction
What type of accounting entails recording transactions in
the period that they occur?
Accrual basis of accounting
When you make an exchange from the General Journal to the
General Ledger, you’re doing what?
Posting