the total amount of money received from the sale of goods or services, ad well as from related business activities

the amount of money a firm spent to buy or produce the products it sold during the period to which the income statement applies

revenues minus the cost of goods sold required to generate the revenues

the costs incurred in the day-to-day operations of an organizations

the process of spreading the costs of long-lived assets such as buildings and equipment over the total number of accounting periods in which they are expected to be used

the total profit (or loss) after all expenses, including taxes, have been deducted from revenue; also called net earnings

assets that are used or converted into cash within the course of a calendar year

money owed a company by its clients or customers who have promised to pay for the products at a later date

a firm's financial obligations to short-term creditors, which must be repaids within one year

the amount a company owes to suppliers for goods and services purchased with credit

is an account representing all unpaid financial obligations incurred by the organization

a system of recording and classifying business transactions that maintains the balance of the accounting equation

the four-step procedure of an accounting system: examining source documents, recording transactions in an accounting journal, posting recorded transactions, and preparing financial statements

a time-ordered list of account transactions

a book or computer file with separate sections for each account

a financial report that shows an organization's profitability over a period of time - month, quarter, or year

explains how the company's cash changed from the beginning of the accounting period to the end

a "snapshot" of an organization's financial position at a given moment