COMMERCE 1AA3 Chapter Notes - Chapter 3-4: Petty Cash, Passive Electronically Scanned Array, List Of The Shield Episodes
17 Mar 2017
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Accumulated depreciation - the account showing the sum of all depreciation expense from the date of acquiring a capital asset. Adjusted trial balance - a list of all the ledger accounts with their adjusted balances. Carrying amount - the asset"s cost minus accumulated depreciation. Cash-basis accounting - accounting that records only transactions in which cash is received or paid. Classified balance sheet - a balance sheet that shows current assets separate from long-term assets, and current liabilities separate from long-term liabilities. Closing entries - entries that transfer the revenue, expense, and dividend balances from these respective accounts to the retained earnings account. Contra account - an account that always has a companion account and whose normal balance is opposite that of the companion account. Current ratio - current assets divided by current liabilities. Measures a company"s ability to pay current liabilities with current assets. Debt ratio - ratio of total liabilities to total assets.
