The act of voluntarily and permanently giving up possession and use of property with the intention of ending ownership without transferring ownership to another person.

A semester, trimester, quarter, or other period of study (such as a summer school session) as reasonably determined by an educational institution.

The name given to tax rules relating to recovering, through depreciation deductions, the cost of property used in a trade or business to produce income.ACRS applies to property first used before 1987.

Any amounts paid under a life insurance contract, prior to death, for an individual who is terminally or chronically ill.

Subdivision under the three sections of the accounting equation used to summarize increases and decreases in assets, liabilities, and owner's equity.

A reimbursement or allowance arrangement that requires an employee to account to their employer for their business expenses within a reasonable time.

A person who handles a broad range of jobs related to the making of choices and decisions about the design of a business's accounting system and the preparation and explanation of financial reports.

Entry-level job that can vary with the size of the company from specialization in one part of the system to a wide range of recordkeeping tasks.

The accounting period of a business is separated into activities that help the business keep its accounting records in an orderly fashion.

The basis for keeping all accounting records in balance. Assets = liabilities + owner's equity

The way a taxpayer accounts for income and expenses.

A period of time covered by an accounting report.

A systematic process of recording and reporting the financial information resulting from business transactions.

The amount of money owed, or payable, to the creditors of a business.

A separate ledger that contains accounts for all creditors; it is summarized in the Accounts Payable controlling account in the general ledger.

The total amount of money owed to a business.

A separate ledger that contains accounts for all charge customers; it is summarized in the Accounts Receivable controlling account in the general ledger.

The total amount of depreciation for a plant asset that has been recorded up to a specific point in time.

The employee's year-to-date gross earnings, or the employee's gross earnings from the beginning of the year through the end of each pay period.

To participate meaningfully in the management or operations of a trade or business.

Participation in a rental real estate activity in which the taxpayer owns at least 10% of the rental property and makes significant and bona fide management decisions, such as approving new tenants, deciding on rental terms, and approving expenditures.

An amount that is added to or subtracted from an account balance to bring that balance up-to-date.

Costs related to the management of a business (for example, office expenses).

A method of estimating bad debts expense in which each customer's account is examined and classified by age; the age classifications are multiplied by certain percentages; and the total estimated uncollectible amounts are added to determine the end-of-period balance of Allowance for Uncollectible Accounts.

Reduces the amount of income tax to be withheld.

A method of accounting for uncollectible accounts in which an estimate is made of the amount of sales on account for which payment will not be received.

Amortization is the paying off of debt with a fixed repayment schedule in regular installments over a period of time (e.g. a mortgage or a car loan). It can also refer to the spreading out of capital expenses for intangible assets over a specific duration for accounting and tax purposes.

Property or items of value owned by a business.

The maximum number of shares of stock a corporation may issue.