Share Terminologies in accounting
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What you own are called as
Asset
What you owe are called as
Liability
Accounting equation is also called as
Balance sheet equation
Capital is also called as
Owners equity
What is called as book keeping
Detailed recording of all the financial transactions of a business
When you see cheque in business transaction you will consider it as
bank
Another term for Debtor?
Trade receivable
Trade receivable and accounts receivable is the same
correct
Trade payable and account receivable is the same
incorrect
Balance sheet shows the
financial position of the business
Another term for account payable
Creditor/Trade payable
Double entry means 6 entries in accounting books
incorrect
What are called as inventory?
Goods purchased for resale
What are called as non current assets?
Assets purchased by the business to keep it for long time and have high life span
Financial position means.......
Assets and liability position of the company
Customer returned goods that are already purchased are called as
sales return
