Ch 4 - Gen Ledger and Journal VOCAB Flashcards Preview

Principles of Accounting > Ch 4 - Gen Ledger and Journal VOCAB > Flashcards

Flashcards in Ch 4 - Gen Ledger and Journal VOCAB Deck (12):
1

Define accounting cycle.

series of steps performing during each accounting period to classify, record and summarize data for a business and to produce needed financial info

2

Define audit trail. (4)

1. a chain of references that makes it possible to
2. trace information
3. locate errors
4. prevent fraud

3

Define balance ledger form.

a ledger account form that shows the balance of the account after each entry is posted

4

Define chronological order.

organized in the order in which the events occur

5

Define compound entry.

a journal entry with more than one debit or credit

6

Define correcting entry.

A journal entry made to correct an erroneous entry

7

Define general journal. (2)

1. financial record for entering all types of business transactions
2. record of original entry

8

Define general ledger. (2)

1. permanent, classified record of all accounts used in a firm's operation
2. record final entry

9

Define journal.

record of original entry

10

Define journalizing.

recording transactions in a journal

11

Define ledger.

record of final entry.

12

Define posting.

transferring data from a journal to a ledger.