QuickBooks Online Foundations Vocabulary 100% Correct Verified by Experts

Quick Books Online Foundations Vocabulary 100% Correct Verifi ed by Experts Accounts Payable Amounts due to vendors or suppliers for goods or services received that you have not yet paid for Account Receivable the balance of money owed to you for goods received or services delivered but not yet paid by customers Assets Anything of value that can be converted into cash Fixed Asset A long -term tangible piece of property that a firm owns and uses in its operation to generate income. Not expected to be consumed or converted into cash within a year Liabilities Your company debt. What you owe Equity The net worth of your company. This is the difference between what you owe (liabilities) and what you own (assets) Balance Sheet A financial statement of assets, liabilities, and capital; the report details the balance of income and expenditure over a specified period of time. Profit and Loss a financial statement that summarizes the revenues, costs and expenses incurred during a specific period of time, usually a fiscal quarter or year. Statement of Cash Flow A financial statement that provide aggregate data regarding all cash inflows a company receives from its ongoing operations and external investment sources Cash flow projection A cash flow projection shows the amount of money expected to come into a business minus money expected to go out over a determined amount of time Cash flow the net amount of cash and cash equivalents being transferred into and out of a business Cost Analysis Goal is to determine the true cost of the products or services you are offering Expenses A resource or service that a business spends money on in order to generate revenue. Examples are payroll, utilities, advertising, meals & entertainment Direct Cost A cost that can be directly tied to the production of specific goods or services Indirect Cost A cost that is not directly related to a cost object (such as a specific project, facility, function or product) Overhead Ongoing business expenses not directly attributed to creating a product or service Breakeven The level of production at which the costs or productions equal the revenues for a product or service Variable Costs A variable cost is an expense that changes in proportion with production output