Financial Accounting Glossary — Key Terms & Definitions
- Accounting equation
- Accounts payable
- Accounts receivable
- Accrual basis
- Accumulated depreciation
- Acquisition cost
- Adjusting entries
- Allowance for doubtful accounts
- Amortization
- Additional Paid-In Capital (APIC)
- Articulation
- Accounting Standards Codification (ASC) 320 and 321
- Accounting Standards Codification (ASC) 350
- Accounting Standards Codification (ASC) 606
- Accounting Standards Codification (ASC) 805
- Accounting Standards Codification (ASC) 842
- Asset turnover
- Assets
- Available-for-sale (AFS)
- Balance sheet
- Bond
- Book value
- Capital expenditure
- Cash basis
- Cash flow from operations
- Current Expected Credit Losses (CECL)
- Closing entries
- Common stock
- Conservatism
- Contingent liability
- Contra-account
- Contributed capital
- Cost of goods sold
- Coupon rate
- Current assets
- Current liabilities
- Current ratio
- Debit / Credit
- Debt-to-equity ratio
- Deferred revenue
- Deferred tax asset / liability
- Depreciation
- Diluted EPS
- Direct method
- Discount (bond)
- Dividends declared
- Double-declining balance
- Double-entry bookkeeping
- Earnings per share (EPS)
- Earnings Before Interest and Taxes (EBIT)
- Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA)
- Effective interest method
- Equity
- Equity method
- Expense
- First-In, First-Out (FIFO)
- Finance lease
- Fiscal year
- Generally Accepted Accounting Principles (GAAP)
- Gain
- General journal
- General ledger
- Going concern
- Going concern opinion
- Goodwill
- Gross profit
- Held-to-maturity (HTM)
- Historical cost
- International Financial Reporting Standards (IFRS) vs. Generally Accepted Accounting Principles (GAAP)
- Impairment
- Income statement
- Income tax expense
- Indirect method
- Intangible asset
- Interest coverage ratio
- Internal controls
- Inventory turnover
- Inventory write-down
- Journal entry
- Liabilities
- Last-In, First-Out (LIFO)
- Lower of cost or net realizable value (LCNRV)
- Matching principle
- Materiality
- Management’s Discussion and Analysis (MD&A)
- Net income
- Other Comprehensive Income (OCI)
- Operating cycle
- Operating income
- Operating lease
- Par value
- Property, Plant, and Equipment (PP&E)
- Preferred stock
- Premium (bond)
- Prepaid expense
- Pro forma earnings
- Quick ratio (acid-test)
- R&D expense
- Related-party transaction
- Retained earnings
- Return on assets (ROA)
- Return on equity (ROE)
- Revenue
- Revenue recognition
- Right-of-use (ROU) asset
- Salvage value
- Segment reporting
- Selling, General, and Administrative Expenses (SG&A)
- Specific identification
- Statement of cash flows
- Statement of stockholders' equity
- Stock-based compensation
- Straight-line depreciation
- Subsequent events
- T-account
- Trading security
- Treasury stock
- Treasury stock method
- Trial balance
- Unearned revenue
- Units-of-production depreciation
- Useful life
- Weighted-average cost
- Working capital
- Accumulated Other Comprehensive Income (AOCI)
- Accounting Cycle Financial Statements
- Activity Trend Analysis
- Plant Assets Depreciation
- Inventory
- Bonds Payable Issuance
- Profitability Market Ratios
- Cash Receivables
- Liabilities Bonds Payable
- Financial Statement Preparation
- Recording Transactions Journal Ledger
- Liquidity Solvency Ratios
- Intangibles Natural Resources
- Financial Statement Analysis Ratios