recording income and expenses

Explain why we are studying this unit

Define basic terms

You may also be able to:

use accounting terms confidently

select the format needed for recording expenses and income

Accounting is the process of keeping financial records. For example: I need to do my personall accounting this afternoon so I know how much money I actually have.

Expendature is an expense, anything you spend money on or that costs you money. For example: In need to consider the insurance expendature before I buy a car.

Income is any money you bring in. This could be wages, gifts, donations, or rent received to name a few. For example: I receive income from my wages and from sales of items on Etsy.

Entry is when you write an expenditure or income in your accounts. For example: I double checked my income entries in my accounts.

Spreadsheet is an Excell document that we will use to show your income and expenditures

Ledger is a book or other collection of financial accounts of a particular typ