The Accounting Equation is the basis for the financial statement called the Balance Sheet.
Accounts Payable is money owed by the business to vendors for goods or services received.
The Accounting Period is the interval at the end of which a business closes its books and generates Reports.
An Account Receivable is also known as Debtors is the money the customers owe for goods or services provided.
Accrual basis is a method of accounting that records transactions as they occur rather than waiting until cash is exchanged.
An Asset is  an item of value held by the business.
The Audit Trail is information that allows you to reconstruct a transaction.
A Balance Sheet is  a list of the assets, liabilities, and the owner\'s equity.
Capital is money invested in the business by the owners.
Cash Accounting is an accounting method that reflects only cash activity.
A Cash Payment is money paid out, generally by cheque, to vendors for goods and services.
A Chart of accounts is a list of a business\'s account names and numbers.
A Closing Entry is a procedure that take place at the end of an accounting period. 
A Company is a separate legal entity owned by one or more shareholders.
Cost of Goods Sold is the cost of inventory items sold to your customers. 
A Credit Entry is an entry that can increase liabilities, Revenue and Equity and decrease Assets and Expenses.
A Current Asset is an asset that is in the form of cash and is easily converted to cash
A Current Liability is a Debt payable within one year. 
A Debit Entry is  an entry that can increase Assets and Expenses and decrease Liabilities, Revenue and Owner\'s Equity.
Depreciation is an allowed amount written-off the value of fixed assets. 
Double-entry is a system by which every transaction has two entries is  a debit and a credit.
Drawings is the amount drawn out of the business by an owner.
An Expense account is the accounts you use to keep track of the costs of doing business. 
A Fixed Asset is  an asset that is generally not converted to cash within one year.
The General ledger is  the collection of all accounts used to keep the accounting records of a business.
Gross Profit is the difference between the Revenue and the Cost of Goods Sold
Inventory is goods you hold for sale to customers.
A Liability is what your business owes creditors. 
A Long-term liability is a liability that is not due within one year.
Markup is the amount added to the cost of a product to determine a selling price.
Net Profit is the bottom line of the Profit and Loss Statement.
Owner\'s Equity is the net worth of your company or capital. 
A Partnership is an unincorporated business with two or more owners.
A Profit and Loss Account is an account in the ledger used to calculate Nett profit
A Profit and Loss Statement is a list of your income, expenses, and net profit (or loss).
A Revenue account is  an account used to keep track of sources of income. 
A Sole Trader is a business with only one owner.
A Trial Balance is an internal accounting report used to help check the accuracy of the bookkeeping process.
A Trading Account is an account in the ledger used to calculate Gross Profit