Examlex
For each vocabulary word below, select the corresponding definition from the list provided.
-MRI
Double-Entry
An accounting principle where every transaction is entered twice, as a debit in one account and a credit in another, to keep the accounting equation balanced.
Accounting Equation
The fundamental principle of accounting that represents the relationship between assets, liabilities, and owner's equity: Assets = Liabilities + Owner's Equity.
Journal Entry
A record in the books of accounts that represents a business transaction, including information like date, accounts affected, and amounts.
Net Income
The total earnings of a company, calculated as revenue minus expenses, taxes, and costs.
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