Chapter 1 Flashcards
1
Q
Sales of goods / Services
A
Revenue from main trading activity
2
Q
Purchases
A
Buying goods for resale
3
Q
Expenses
A
Revenue expenditure - day to day operating costs
4
Q
Payroll / wages
A
Staff costs
5
Q
Receipts
A
Cash inflow
6
Q
Payments
A
Cash outflow
7
Q
Cash and bank
A
Physical cash & Cash at financial institutions
8
Q
Income
A
Any generation of revenue
9
Q
Cash Transaction
A
Goods and services are provided on payment
10
Q
Credit Transactions
A
Goods / Services are provided before payment
11
Q
Expenditure
A
Includes expenses and purchases
12
Q
Account
A
Record of similar financial transactions In a business
13
Q
Ledger
A
A set of related accounts
14
Q
Payroll
A
List of employees and the wages due to each
15
Q
Petty cash
A
Small amount of cash held for the payment of expenses
