- accounting
- process of organizing, analyzing, and communicating financial information that is used for decision-making
- auditing
- process of ensuring activities are carried out as intended or designed
- consulting
- process of giving advice or guidance on financial and nonfinancial impact of a course of action
- cost accounting
- recording and tracking of costs in the manufacturing process
- creditor
- business that grants extended, but short-term, payment terms to other businesses
- financial accounting
- measures the financial performance of an organization using standard conventions to prepare financial reports
- Financial Accounting Standards Board (FASB)
- independent, nonprofit organization that sets financial accounting and reporting standards for both public and private sector businesses in the United States that use Generally Accepted Accounting Principles (GAAP)
- for-profit business
- has the primary purpose of earning a profit by selling goods and services
- generally accepted accounting principles (GAAP)
- common set of rules, standards, and procedures that publicly traded companies must follow when composing their financial statements
- governmental accounting
- process of tracking the inflows and outflows of taxpayer funds using prescribed standards
- Governmental Accounting Standards Board (GASB)
- source of generally accepted accounting principles (GAAP) used by state and local governments in the United States; is a private nongovernmental organization
- governmental entity
- provides services to the general public (taxpayers)
- lender
- bank or other institution that has the primary purpose of lending money
- managerial accounting
- process that allows decision makers to set and evaluate business goals by determining what information they need to make a particular decision and how to analyze and communicate this information
- manufacturing business
- for-profit business that is designed to make a specific product or products
- nonprofit (not-for-profit) organization
- tax-exempt organization that serves its community in a variety of areas
- not-for-profit (NFP) accounting
- including charities, universities, and foundations, helps ensure that donor funds are used for the intended mission of the not-for-profit entity
- privately held company
- company whose stock is available only to employees or select individuals or groups
- publicly traded company
- company whose stock is traded (bought and sold) on an organized stock exchange
- retail business
- for-profit business that purchases products (called inventory) and resells the products without altering them
- Securities and Exchange Commission (SEC)
- federal regulatory agency that regulates corporations with shares listed and traded on security exchanges through required periodic filings
- service business
- business that does not sell tangible products to customers but rather sells intangible benefits (services) to customers; can be either a for-profit or a not-for-profit organization
- stakeholder
- someone affected by decisions made by a company; may include an investor, creditor, employee, manager, regulator, customer, supplier, and layperson
- stockholder
- owner of stock, or shares, in a business
- transaction
- business activity or event that has an effect on financial information presented on financial statements