1 Keyboard (there is no writing on this template). 2  My Documents: Write a short summary about the book that you read. 3  Your summary should make other students interested in reading your book, but do not give away important information about how the story ends. Computer Screen: Title, Author, Genre, and a drawing of the climax of the story. 2  Keyboard (there is no writing on this template). 3  My Documents: Write a short summary about the book that you read.
For example, inventory is an asset. Expenses are the cost of bringing in revenues. They were needed to bring in the revenues and profits that you reported this year. Expenses appear on the income statement. For example, just as inventory is an asset, âcost of goods soldâ is an expense. This is the cost of inventory that was sold during the year. The difference is really one of timing. An asset is expected to bring in a benefit sometime in the future. When the benefit comes in, then the asset becomes an expense. As it is sold, inventory is moved out of the inventory account on the balance sheet, and into the cost of goods sold account on the balance sheet.
Income is revenue that your business earns. This can be operating revenue from the goods or services that your business sells, or passive revenue from things like investments. Expenses are the outflow of funds from your business to pay for goods and services that your business uses. Liabilities are simply amounts that your business owes to other parties. These can be simple bank debts, or other things like unpaid expenses.