Abbreviations and Acronyms Commonly Used in Business and Accounting

AAA ABC AICPA CIA CIM CMA CPA Cr. Dr. EFT EPS FAF FASB FEI FICA tax FIFO FOB GAAP GASB GNP IMA IRC IRS JIT LIFO Lower of C or M MACRS n/30 n/eom P/E Ratio POS ROI SEC TQC American Accounting Association Activity-based costing American Institute of Certied Public Accountants Certied Internal Auditor Computer-integrated manufacturing Certied Management Accountant Certied Public Accountant Credit Debit Electronic funds transfer Earnings per share Financial Accounting Foundation Financial Accounting Standards Board Financial Executives International Federal Insurance Contributions Act tax First-in, rst-out Free on board Generally accepted accounting principles Governmental Accounting Standards Board Gross National Product Institute of Management Accountants Internal Revenue Code Internal Revenue Service Just-in-time Last-in, rst-out Lower of cost or market Modied Accelerated Cost Recovery System Net 30 Net, end-of-month Price-earnings ratio Point of sale Return on investment Securities and Exchange Commission Total quality control

Classication of Accounts
Account Title
Accounts Payable Accounts Receivable Accumulated Depletion Accumulated Depreciation Advertising Expense Allowance for Doubtful Accounts Amortization Expense Bonds Payable Building Capital Stock Cash Cash Dividends Cash Dividends Payable Common Stock Cost of Merchandise (Goods) Sold Deferred Income Tax Payable Delivery Expense Depletion Expense Discount on Bonds Payable Dividend Revenue Dividends Employees Federal Income Tax Payable Equipment Exchange Gain Exchange Loss Factory Overhead (Overapplied) Factory Overhead (Underapplied) Federal Income Tax Payable Federal Unemployment Tax Payable Finished Goods Freight In Freight Out Gain on Disposal of Fixed Assets Gain on Redemption of Bonds Gain on Sale of Investments Goodwill Income Tax Expense Income Tax Payable Insurance Expense Interest Expense Interest Receivable Interest Revenue Investment in Bonds Investment in Stocks Investment in Subsidiary Land Loss on Disposal of Fixed Assets Loss on Redemption of Bonds

Account Classification
Current liability Current asset Contra xed asset Contra xed asset Operating expense Contra current asset Operating expense ZLong-term liability Fixed asset Stockholders equity Current asset Stockholders equity Current liability Stockholders equity Cost of merchandise (goods sold) Current liability/Longterm liability Operating expense Operating expense Long-term liability Other income Stockholders equity Current liability Fixed asset Other income Other expense Deferred credit Deferred debit Current liability Current liability Current asset Cost of merchandise sold Operating expense Other income Other income Other income Intangible asset Income tax Current liability Operating expense Other expense Current asset Other income Investment Investment Investment Fixed asset Other expense Other expense

Normal Balance
Credit Debit Credit Credit Debit Credit Debit Credit Debit Credit Debit Debit Credit Credit Debit Credit Debit Debit Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Credit Debit Debit Debit Credit Credit Credit Debit Debit Credit Debit Debit Debit Credit Debit Debit Debit Debit Debit Debit

Financial Statement
Balance sheet Balance sheet Balance sheet Balance sheet Income statement Balance sheet Income statement Balance sheet Balance sheet Balance sheet Balance sheet Retained earnings statement Balance sheet Balance sheet Income statement Balance sheet Income Statement Income statement Balance sheet Income statement Retained earnings statement Balance sheet Balance sheet Income statement Income statement Balance sheet (interim) Balance sheet (interim) Balance sheet Balance sheet Balance sheet Income statement Income statement Income statement Income statement Income statement Balance sheet Income statement Balance sheet Income statement Income statement Balance sheet Income statement Balance sheet Balance sheet Balance sheet Balance sheet Income statement Income statement

Account Title
Loss on Sale of Investments Marketable Securities Materials Medicare Tax Payable Merchandise Inventory Notes Payable Notes Receivable Organizational Expenses Patents Paid-In Capital from Sale of Treasury Stock Paid-In Capital in Excess of Par (Stated Value) Payroll Tax Expense Pension Expense Petty Cash Preferred Stock Premium on Bonds Payable Prepaid Insurance Prepaid Rent Purchases Purchases Discounts Purchases Returns and Allowances Rent Expense Rent Revenue Retained Earnings Salaries Expense Salaries Payable Sales Sales Discounts Sales Returns and Allowances Sales Tax Payable Sinking Fund Cash Sinking Fund Investments Social Security Tax Payable State Unemployment Tax Payable Stock Dividends Stock Dividends Distributable Supplies Supplies Expense Treasury Stock Uncollectible Accounts Expense Unearned Rent Utilities Expense Vacation Pay Expense Vacation Pay Payable Work in Process

Account Classification
Other expense Current asset Current asset Current liability Current asset/Cost of merchandise sold Current liability/Longterm liability Current asset/Investment Operating expense Intangible asset Stockholders equity Stockholders equity Operating expense Operating expense Current asset Stockholders equity Long-term liability Current asset Current asset Cost of merchandise sold Cost of merchandise sold Cost of merchandise sold Operating expense Other income Stockholders equity Operating expense Current liability Revenue from sales Revenue from sales Revenue from sales Current liability Investment Investment Current liability Current liability Stockholders equity Stockholders equity Current asset Operating expense Stockholders equity Operating expense Current liability Operating expense Operating expense Current liability/Longterm liability Current asset

Normal Balance
Debit Debit Debit Credit Debit Credit Debit Debit Debit Credit Credit Debit Debit Debit Credit Credit Debit Debit Debit Credit Credit Debit Credit Credit Debit Credit Credit Debit Debit Credit Debit Debit Credit Credit Debit Credit Debit Debit Debit Debit Credit Debit Debit Credit Debit

Financial Statement
Income statement Balance sheet Balance sheet Balance sheet Balance sheet/Income statement Balance sheet Balance sheet Income statement Balance sheet Balance sheet Balance sheet Income statement Income statement Balance sheet Balance sheet Balance sheet Balance sheet Balance sheet Income statement Income statement Income statement Income statement Income statement Balance sheet/Retained earnings statement Income statement Balance sheet Income statement Income statement Income statement Balance sheet Balance sheet Balance sheet Balance sheet Balance sheet Retained earnings statement Balance sheet Balance sheet Income statement Balance sheet Income statement Balance sheet Income statement Income statement Balance sheet Balance sheet