Definition Scavenger Hunt

Definition Scavenger Hunt

Sandra Tharp

HSM 206

September 4, 2016

Jane Jean-Bernard

Definition Scavenger Hunt

DEFINITIONS

        Accounts Payable: www.investopedia.com

Accounts payable is an accounting entry that represents an entity’s obligation to pay off a short term debt to its creditors. Another common usage for accounts payable refers to a business department or division that is responsible for making payments owed by the company to suppliers and other creditors.

Accounts Receivable: www.accountingtools.com

Accounts receivable is short term amount due from byers to a seller who have purchased goods or services from the seller on credit. Accounts receivable is listed as a currant asset on a seller’s balance sheet. Accounts receivable may be further subdivided into trade receivables, where trade receivables are from a company’s normal business partners, and non-trade receivables area all other receivables, such as amounts due from employees.  

Carrying Costs: www.simplestudies.com/accounting

These are also called holding costs; they are costs incurred for carrying inventory. It is also helpful in determining whether goods should be produced less or more for the business to stay on top of expenses and continue to generate a steady income.

Certificate of Deposit: www.accountingtools.com

A Certificate of Deposit is a term bank deposit that has a fixed duration and stated interest rate. Basically this is a promissory note from a bank.

Current Assets: www.investinganswers.com

Current assets are balance sheet accounts that represent the value of all assets that can reasonably expect to be converted into cash within one year.

Current Liabilities: www.investinganswers.com

Current Liabilities is an obligation that is due within one year of the balance sheet date.