PERIODICAL TEST IN ACCOUNTANCY, BUSINESS AND MANAGEMENT 1 Q3

`Shows the financial condition of a business in an accounting period.

It is composed of Asset, Liabilities and Equity It is a Permanent Account.

These are expenses paid in advance or before use

The sum of money that employees borrowed and payable through salary deductions

The amount of interest collectible on promissory notes received from customers and clients.

A promissory note issued by the client for the purchases made on account as evidence of his/her obligation to pay.

Assets held by a business for the growth of wealth through putting assets in different baskets where it can earn

Property, Plant and Equipment (PPE)

Cash, Cash Equivalent, Marketable Securities

Notes Receivables and Office Supplies

Mortgage Payable and Bonds Payable

Intangible Assets such as good will, patents, rights, license and franchise

Accrued Expense and Unearned Income

Income that is not from the main business.

The amount paid to employees for their services to the business. ex.: salaries/wages, bonuses, cost of living allowances, and other benefits of employees.