glossery
B120
An Introduction to Business Studies
Glossary
Prepared for the course team by Kirstie Ball with contributions from Judy Day
B120 Glossary
This Glossary is intended to contain all the important terms in B120 which, though they may already seem familiar in some instances, we think you need to understand clearly in a business studies context. The terms listed here are highlighted in blue the first time they appear in the course material. They are listed here alphabetically and not by book.
Although this Glossary contains the terms the course team has identified for definition, we freely acknowledge that there may be others you feel should be included. If you have suggestions for terms to be included in future versions of the Glossary, the course team will be glad to hear from you. (Details of how to contact the course team are available on the course website.)
Italicised terms, other than book titles, refer to entries in this Glossary. If you would like to read the definition for one of these italicised terms, move the cursor over the term, hold down the control key and then left click with your mouse. The cursor will move to where the definition appears in the Glossary.
Accounting concepts The assumptions that underpin the preparation of financial statements.
Accounting standards Regulations created by the professional accountancy bodies that govern the preparation of accounting information. They supplement and reinforce the provisions of company law, which can tend to lag behind current best professional practice.
Accounts Part of a business’s system of formal accounting records, containing details of transactions for specific items.
Accrual accounting The usual basis of accounting, under which income is dealt with in the accounting statements when it is earned, not when it is received; expenses are dealt with in the accounting statements when they are incurred, not when they are paid. Under this basis of accounting the
An Introduction to Business Studies
Glossary
Prepared for the course team by Kirstie Ball with contributions from Judy Day
B120 Glossary
This Glossary is intended to contain all the important terms in B120 which, though they may already seem familiar in some instances, we think you need to understand clearly in a business studies context. The terms listed here are highlighted in blue the first time they appear in the course material. They are listed here alphabetically and not by book.
Although this Glossary contains the terms the course team has identified for definition, we freely acknowledge that there may be others you feel should be included. If you have suggestions for terms to be included in future versions of the Glossary, the course team will be glad to hear from you. (Details of how to contact the course team are available on the course website.)
Italicised terms, other than book titles, refer to entries in this Glossary. If you would like to read the definition for one of these italicised terms, move the cursor over the term, hold down the control key and then left click with your mouse. The cursor will move to where the definition appears in the Glossary.
Accounting concepts The assumptions that underpin the preparation of financial statements.
Accounting standards Regulations created by the professional accountancy bodies that govern the preparation of accounting information. They supplement and reinforce the provisions of company law, which can tend to lag behind current best professional practice.
Accounts Part of a business’s system of formal accounting records, containing details of transactions for specific items.
Accrual accounting The usual basis of accounting, under which income is dealt with in the accounting statements when it is earned, not when it is received; expenses are dealt with in the accounting statements when they are incurred, not when they are paid. Under this basis of accounting the