Everything that a company owns. This might include cars, money, buildings and machines.
Liabilities
Equipment
Ownership
Assets
Money which a company owes to another company or person
Expenditures
Assets
Liabilities
Budget
Financial Statement which lists all the assets and all the liabilities of a company on one particular day, which is very often 31st December. It’s like a photograph because it’s at one moment in time.
Statement
Income statement
Overdraft
Balance Sheet
A Financial Statement which shows all the company’s sales and all of its costs, for a period of time.
Income Statement
Balance Sheet
Current Assets
Double entry
The accounting system used all over the world which records every transaction twice, as a Debit and a Credit.
Fixtures and fittings
Double Entry
Bank Overdraft
These are often shown in a shorter form as Dr. and Cr. They are the two sides used in Double Entry.
Debit and Credit
Plant and equipment
Freehold Premises
Things which a company owns that have a long-term value. Examples are buildings, motor vehicles, and machines.
Prepayments
Current Liabilities
Fixed Assets
Freehold premises
_____ is where a company has a negative amount of money in its bank account. Usually, this is agreed with the bank in advance and there is a limit to the amount. This overdraft is a Current Liability.
Bank turnover
Bank statement
Bank Loan
Bank Overdraft
____________are the extra costs of running a business. Examples; insurance, power costs, bank interest payable, administration wages
Ledger
Overdraft
Prepayments
Overheads
