COMM 111 Chapter Notes - Chapter 2: Accounts Payable, Share Capital, Deferral
*each asset, liability and elemnt of shareholders equity has its own account, which is used to record all transactions affecting that related factor. Cash: consist of bank account balances, paper currency and coins and undeposited cheques. Accounts receivable: amounts of owing from customers who have purchased goods or service on credit. Inventory: goods a company sells to its customers. Prepaid expenses: expenses a company has paid in advance (a one year insurance contract) Land: any land a company uses in its operations. Buildings: any office buildings, factories and other buildings by a company included in the buildings account. Equipment, furniture and fixtures: variety of office, computer and manufacturing equipment, as well as any furniture and fixtures owned by a company. Accounts payable: amount of money a company owes to suppliers who have sold the company goods or services on credit.