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Match Term to Its Definition

Question 198

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Match term to its definition

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Credit

The sources of accounting information.

Journal

An increase in an asset, dividend and expense account and decrease in a liability, common stock and revenue account; recorded on the left side of a T-account

Account

The process of transferring journal entry information to the ledger

Ledger

An accounting system where the impact of each transaction is recorded in at least two accounts; the sum of the debits for each entry must equal its credits

Source documents

A file containing all accounts of a company and their balances

Accounting records

A company's record of all transactions in one place that shows debits and credits for each transaction

Debit

A record of the increases and decreases in a specific asset, liability, equity, revenue or expense item

T-account

Decrease in an asset, dividend and expense account and increase in a liability, common stock and revenue account; recorded on the right side of a T-account

Posting

A simple account form used as a helpful tool in showing the effects of transactions and events on specific accounts

Double-entry accounting

Another name for the accounting books or simply the books