Accounting
Definitions / Glossary
Account
An account is used to record a financial transaction. Quicken Accounts are used
for assets and liabilities. Also
see Chart of Accounts.
Accounts Receivable
Is used to track amounts owed to your business for goods and services sold to
customers.
Asset
Assets refer to things you or your company owns, such as: Cash on hand, money in
checking or savings accounts, money you are owed for services or products sold (accounts receivable), money
you have loaned, property, equipment, furniture & fixtures, etc.
Balance Sheet
A Balance Sheet is a report that shows how much your business is worth. All the
money your company owes (liabilities)
is subtracted from everything it owns (assets) resulting in what your
company is worth (equity)
Capital
Is money invested in a company by its owners. Also see Equity.
Category
This is a Quicken term used for income and expenses. In many other accounting
systems, this would be referred to as an account. Also see Chart of Accounts.
Category & Transfer List
This is Quicken's version of a Chart of Accounts. It
includes all Accounts and
Categories.
Chart of Accounts
In an accounting system, a Chart of Accounts lists all income, expenses, assets and liabilities.
Quicken redefines this list to include Accounts and Categories.
Credit
Means you are taking money out - an outflow. That is, you
are removing money from some source.
Debit
Means you are putting money in - an inflow. That is, you
are applying money to some application.
Equity
Is what your company is worth (equity), after subtracted
from everything it owes (liabilities)
from what it owns (assets)
Inflow
Is money coming in. Also see Debit.
Invoice
Is an itemized bill that is given to a customer - an itemized list, including prices,
of products and services purchased by a customer.
Liability
Is money your company owes.
Outflow
Is money going out. Also see Credit.
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