BUS 082 Lecture Notes - Lecture 29: Accounts Payable, Financial Statement, Trial Balance

• School: College of The Sequoias
• Department: Business (BUS)
• Course: BUS 082
• Professor: gradin

Document Summary

A summary of the financial transactions that have occurred over a particular period. Net worth= what you owe what you own. This equation is the basis for the balance sheet. Current assets: items that can or will be converted to cash within one year. Fixed assets: long term assets that are relatively permanent such as land, buildings or equipment. Intangible assets: long term assets that have not physical form but do have value such as patents, trademarks, and goodwill. Accounts payable: current liabilities a firm owes for merchandise or services purchased on credit. Notes payable: short or long term liabilities a business promises to pay by a certain date. Bonds payable: long term liabilities that the firm must pay back. Owner"s equity: the amount of the business that belongs to the owners minus any liabilities of the owners. Retained earnings: accumulated earnings from the firm"s profitable operations that are reinvested in the business.