A Personal Budget Lists Your Assets and Liabilities

question 60

True/False

A personal budget lists your assets and liabilities.

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Definitions:

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset, reducing its carrying value on the balance sheet over time.

Contra Liability

A liability account that decreases the value of the liability to which it is related, essentially serving as a negative liability.

Net Income

The total profit or loss of a company after all revenues, expenses, taxes, and costs have been subtracted.

Financial Statements

Reports that summarize the financial performance and position of a business, including the balance sheet, income statement, and cash flow statement.