Common Accounting Terms Explained
By Louann Cassano
Feel like your accountant is speaking another language? We won’t make you feel that way. Here are some common accounting terms to help you sound like an accounting pro:
The Balance Sheet is the financial statement that includes your assets, liabilities and equity. Assets always equal Liabilities plus Equity.
Income Statement (also known as the P&L) is the financial statement that includes your sales and expenses. The expenses are subtracted from sales to arrive...
