1. GAAP- Generally Accepted Accounting Principles. A widely accepted set of rules, conventions, standards, and procedures for reporting financial information, as established by the Financial Accounting Standards Board.
Reference page: http://www.investorwords.com/2141/GAAP.html
2. Basic Accounting Formula-
3. Transaction- The relationship between income, expenses, and the ownership of the company. Income should equal the amount of expenses plus what owner puts up for the business. T- Account- Simplified two-column account form that resembles capital (uppercase) letter 'T' and is used commonly in illustrating double entry bookkeeping techniques. Reference : http://www.businessdictionary.com/definition/T-account.html
4. General Ledger-
Central repository of the accountinginformation of an organization in which the summaries of all financial transactions (culled from subsidiary ledgers) during an accounting period are recorded. Also called the book of final entry, it provides the entire data for preparing financial statements for the organization.
5. Debit- In double-entry bookkeeping, entry on the left-hand side of an account record. It has the effect of decreasing a capital, liability, or revenue account, or of increasing an asset or expense account. http://www.businessdictionary.com/definition/debit.html
6. Credit - Accounting: An entry on the right-hand side of an account record in double entry bookkeeping. It has the effect of decreasing an asset or expense account, or of increasing a capital, liability, or revenue account.
7. Account Balance- The net balance of assets and liabilities during an accounting period.
8. Trial Balance- The aggregate of all debit and credit balances...
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