Payroll - A list of all employees and their wages Journal An account record where all business transactions are

e INITIALLY entered. Expense Money that is spent to purchase goods or services provided by someone else. Balance sheet A detailed summary of a persons or a companys financial condition at a specific point in time, taking into account their assets, liabilities, etc. Property Something that is legally owned by a person or company. Liability An obligation to settle a debt; money owed to someone. Equity This word has two meanings: stock (shares) and net worth. Cash flow The balance of cash receipts minus cash payments over a given period of time. Liquid assets cash or something that is easily convertible into cash Net income Money remaining after all expenses and taxes have been paid.

Property Net income Equity Cash flow

a) A list of all employees and their wages b) An account record where all business transactions are INITIALLY entered. c) Money that is spent to purchase goods or services provided by someone else. d) A detailed summary of a persons or a companys financial condition at a specific point in time, taking into account their assets, liabilities, etc. e) Something that is legally owned by a person or company. f) An obligation to settle a debt; money owed to someone. g) This word has two meanings: stock (shares) and net worth. h) The balance of cash receipts minus cash payments over a given period of time. i) cash or something that is easily convertible into cash j)Money remaining after all expenses and taxes have been paid.

Payroll Liquid assets Expense Balance sheet Liability Journal

QUESTIONS: (Choose the best response for each one) 1. The global central banks want to keep interest rates at ___________________ ( = unnaturally) low levels. artificially improved seemingly 2. This is not going to end soon. = This is not going to end in the ___________________. short term short cut long term 3. Sometimes government ___________________ is necessary. = Sometimes the government has to get involved. introspection invention intervention 4. The numbers gave us important ___________________ on why the banks failed. = The numbers helped us to better understand why the banks failed. insiders insights instincts 5. The markets ___________________ ( = reached) a three year low yesterday. halted hailed hit 6. He was ___________________ as ( = considered, seen as) the savior of Wall Steet. hailed halted hit

7. 18 months in a row = 18 _______________ months consecutive disclosed constrained 8. at an ___________________ low = at the lowest level in history allocated altogether all-time 9. This was supposed to ___________________ ( = create) confidence in the bond markets. make build place 10. to ___________________ headlines = to appear in headlines (of newspapers, magazines, etc.) collect garner allocate

KEY: artificially, short term, intervention, insights, hit, hailed, consecutive, all-time, build, garner

QUESTIONS: (Choose the best response for each one) 1. I __________________________ our profits for the previous accounting period. called gathered calculated 2. Your job will be to __________________________ and maintain financial records. promise prepare make 3. An accounting period is a period of time over which __________________________ are calculated. prophets profits profiteering 4. Accounts __________________________ refers to the money that is owed to the company by its clients/customers. receivable receptive respected 5. To accrue means to accumulate or _________________. decrease regret increase 6. My house has _______________________ ( = increased in value) by 10% in the past 9 months. appreciated depreciated approximated

7. I indicated all the accrued expenses on your balance _______________________. sheet paper note 8. These expenses are typically __________________________. ( = they occur regularly) pragmatic prodigal periodic 9. Another word for accounting is __________________________. finance bookkeeping money counting 10. A good accountant will help you keep _________________________of your business's finances. track trace score

KEY: calculated, prepare, profits, receivable, increase, appreciated, sheet, periodic, bookkeeping, track

QUESTIONS: (Choose the best response for each one) 1. In economics, a transfer _________________ is a non-compensatory government payment to individuals (such as welfare or social security benefits). pay payment paycheck 2. Things of value owned by a business are known as its _________________. assertions assessment assets 3. What's the opposite of an asset? Cash A liability A liaison 4. Some think that the _________________ of many companies are overstated due to deceptive accounting practices. earnings money earning 5. Every company should have a clear record of their _________________ assets. fixed fix fixture 6. Is "book _________________" the same as "net worth"? evaluation validation value

7. Not only has the company __________________ a lot of capital, but it has done so efficiently. invested invest to invest 8. The breakeven point in sales dollars can be calculated by _________________ a company's fixed expenses by the company's contribution margin ratio. dividing devising demising 9. Our company's _________________ ( = not fixed) expenses are approximately $45,000 per month. various variable veritable 10. By forming a corporation, you can _________________ to only those assets owned by your corporation. check your liability stop your liability limit your liability

KEY: payment, assets, a liability, earnings, fixed, value, invested, dividing, variable, limit your liability