会原 名词解释

Terminology Account An account is a record of increases and decreases in a specific asset ,liability ,equity ,revenue ,or expense item. 2) Accounting Is an information and measurement system that identifies,records and communicates relevant,reliable,and comparable information about an organization’s business activities. Assets Are resources with future benefits that are owned or controlled by a company. Balance sheet Describes a company’s financial position(types and amounts of assets,liabilities,and equity)at a point in time. Bond A bond is its issuer’s written promise to pay an amount identified as the par value of the bond with interest. Business entity principle Means that a business is accounted for separately from other business entities,including its owner. Cash discount Sells grant a cash discount to encourage buyers to pay earlier within credit period. Comprehensive income Refers to all changes in equity for a period except those due to investments and distributions to owners. 9) Consistency principle Prescribes that a company use the same accounting methods period after period so that financial statements are comparable across period-the only exception is when a change from one method to another will improve its financial reporting. Current asset Are cash and other resources that are expected to be sold,collected,or used within one year or the company’s operating cycle,whichever is longer. Current liabilities Are obligations due to be paid or settled within one year or the operating cycle,whichever is longer. Depreciation Is the process of allocating the cost of a plant asset to expense in the accounting periods benefiting from its use. Double-entry accounting Requires that each transaction affect,and be recorded in,at least two accounts.It also means that total amount debited must equal the total amount credited for each transaction. Equity Is the owner’s residual interest in the assets of a business after deducting liabilities. Equity method 权益法：长期投资中，当投资方对被投资方具有重大影响时采用的会计方法。 The equity method of accounting and reporting is used for long-term investments in equity securities with significant influence,which is explained in this section. The equity method with consolidation is used to account for long-term investments in equity securities with controlling influence. 330 16) Going-concern principle Accounting information reflects a presumption that the business will continue operating instead of being closed or sold. 17) Income statement Describes a company’s revenue and expenses along with the resulting net income or loss over a period of time due to earnings activities. Liability Are creditors’ claims on assets. 19) Matching principle Prescribes that a company must record its expenses incurred to generate the revenue reported. Net realizable value Revenue recognition principle Recognize revenue when it is earned,proceeds need not to be in cash,measure revenue by cash received plus cash value of items received. Time period principle Presumes that the life of a company can be divided into time periods,such as months and years,and that useful reports can be prepared for those periods.