Two of the Most Important Factors in Reaching Your Financial

question 21

True/False

Two of the most important factors in reaching your financial goals are the return on your investments and the length of time you have until you need your money.

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Definitions:

Owner's Drawings

The withdrawal of business assets by the owner for personal use.

Closing Entries

Journal entries made at the end of an accounting period to transfer temporary account balances to permanent accounts in preparation for the new accounting period.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset since it was acquired, representing the wear and tear over time.

Service Revenue

Income earned by a company for the services it provides to its clients.