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Assets
Resources owned by a company that have economic value.
Liabilities
Debts or obligations owed by a company to external parties.
Equity
The residual interest in the assets of a company after deducting liabilities.
Revenue
The income generated by a company from its primary business activities.
Expenses
The costs incurred by a company in order to generate revenue.
Income Statement
Also known as the profit and loss statement, it summarizes a company's revenues, expenses, and net income (or loss) over a specific period of time.
Balance Sheet
A financial statement that provides a snapshot of a company's financial position at a specific point in time.
Cash Flow Statement
This statement tracks the inflow and outflow of cash from a company's operating, investing, and financing activities.
Accounts Receivable
The amount of money owed to a company by its customers for goods or services provided on credit.
Accounts Payable
The amount of money owed by a company to its suppliers or creditors for goods or services received on credit.
Depreciation
The systematic allocation of the cost of a long-term asset over its useful life.
Accruals
Expenses or revenues that have been incurred but not yet recorded in the accounting records.
GAAP
Generally Accepted Accounting Principles. These are a set of accounting standards and guidelines that companies must follow when preparing financial statements.
Audit
An independent examination of a company's financial records, systems, and processes to ensure accuracy and compliance with accounting standards.
Profit Margin
A financial ratio that measures a company's profitability by expressing its net income as a percentage of its revenue.
Note 
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