JKBOSE Class 12th Accountancy Notes | Study Materials

JKBOSE Class 12th Accountancy Notes 

Download Unitwise JKBOSE of Class 12th Accountancy Subject

JKBOSE Class 12th Accountancy Study Material Notes

1. Assets: Resources owned by a company that have economic value.
2. Liabilities: Obligations or debts owed by a company.
3. Equity: The residual interest in the assets of a company after deducting liabilities.
4. Revenue: Income generated by a company from its primary operations.
5. Expenses: Costs incurred by a company in the process of generating revenue.
6. Income Statement: A financial statement that shows the company's revenues, expenses and net income for a specific period.
7. Balance Sheet: A financial statement that presents a snapshot of a company's assets, liabilities and equity at a specific point in time.
8. Cash Flow Statement: A financial statement that shows the inflow and outflow of cash during a specific period.
9. Trial Balance: A list of all the general ledger accounts and their balances to ensure that debits equal credits.
10. General Ledger: A complete record of a company's financial transactions organized by account.
11. Accruals: Recognition of revenue and expenses in the accounting period they occur regardless of when cash is received or paid.
12. Depreciation: Allocation of the cost of a long-term asset over its useful life.
13. Amortization: Allocation of the cost of an intangible asset over its useful life.
14. Bad Debts: Uncollectible accounts receivable that are unlikely to be recovered.
15. Accounts Receivable: Amounts owed to a company by its customers for goods or services provided.
16. Accounts Payable: Amounts owed by a company to its suppliers or creditors for goods or services received.
17. Cost of Goods Sold: The direct costs incurred in producing or acquiring products or services sold by a company.
18. Gross Profit: Revenue minus the cost of goods sold.
19. Net Profit: Revenue minus all expenses and taxes.
20. Operating Income: Gross profit minus operating expenses.
21. Return on Investment (ROI): A measure of profitability that indicates the efficiency of an investment.
22. Earnings per Share (EPS): Net profit divided by the number of outstanding shares that indicating the portion of profit attributable to each share.
23. Dividends: Distributions of profits to shareholders.
24. Retained Earnings: Accumulated profits that are reinvested in the company.
25. Capital Expenditure: Money spent on acquiring or upgrading long-term assets.
26. Working Capital: The difference between current assets and current liabilities that reflecting a company's short-term liquidity.
27. Break-even Point: The level of sales at which a company's revenue equals its total costs.
28. Financial Ratios: Relationships between different financial values used to evaluate a company's performance and financial health.
29. Current Ratio: Current assets divided by current liabilities that indicating a company's short-term liquidity.
30. Debt-to-Equity Ratio: Total debt divided by shareholders' equity and measuring a company's leverage.
31. Profit Margin: Net profit divided by revenue, representing the profitability of a company's operations.
32. Cash Flow: The movement of cash into and out of a company over a specific period.
33. Contingent Liabilities: Potential obligations that may arise depending on the occurrence or non-occurrence of future events.
34. Audit: An independent examination of a company's financial records to ensure accuracy and compliance.
35. Forensic Accounting: Investigative accounting used to detect and prevent financial fraud.
36. Internal Controls: Policies and procedures implemented to safeguard assets and ensure accurate financial reporting.
37. Taxation: The process of calculating, reporting and paying taxes owed to the government.
38. GAAP (Generally Accepted Accounting Principles): Standard accounting guidelines followed in the United States.
39. IFRS (International Financial Reporting Standards): Global accounting standards followed by many countries.
40. FASB (Financial Accounting Standards Board): A private organization that establishes accounting standards in the United States.
41. Cost Accounting: The process of tracking, analyzing and controlling costs within a company.
42. Managerial Accounting: Accounting focused on providing information for internal decision-making and planning.
43. Double-entry Accounting: A system where each financial transaction affects at least two accounts that ensuring accuracy and balance.
44. Bookkeeping: The recording and organizing of financial transactions within a company.
45. Inventory Valuation: Determining the monetary value of a company's inventory.
46. Payroll Accounting: Recording and tracking employee compensation, benefits and deductions.
47. Financial Statements: Formal reports presenting a company's financial position and performance.
48. Accrual Accounting: Recording revenues and expenses when they are earned or incurred regardless of cash flow.
49. Historical Cost: Recording assets at their original purchase cost, not adjusted for inflation or changes in market value.
50. Cost of Sales: The direct costs directly associated with the production or acquisition of goods or services sold by a company.